Accommodation companies urged to stop demanding deposit from NSFAS funded college students
The National Student Financial Aid Scheme (NSFAS) has urged landlords not to demand a deposit or top-up payment from NSFAS-funded students.
This arrives immediately after NSFAS obtained experiences about some accommodation companies who require NSFAS-funded students to pay a deposit or top-up payment in an effort to get access to the authorised private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation companies from the compulsory conditions, as supplied by the Standardised Fixed-Term Lease Settlement concerning the personal accommodation vendors and NSFAS funded students," NSFAS reported in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states which the lease is going to be paid every month to your accommodation supplier (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for private accommodation suppliers’ participation on the student accommodation portal.
"The lessor may not involve or permit the lessee to pay a deposit, top-up payments, or any other kinds of payment towards the lessor, or another person in connection with this arrangement, together with payment nsfas of hire, whilst awaiting payment from NSFAS. The lessor shall don't have any recourse in opposition to the lessee for any default inside the payment of rent by NSFAS," the agreement reads.
The NSFAS terms and conditions for private accommodation providers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded due to an incorrect selection by NSFAS, the student will not be accountable for payment of get more info any arrear rent towards the accommodation service provider, up until the date of being defunded."
NSFAS stated that in which the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding remaining defunded by NSFAS, the scholar are going to be accountable for payment of lease on the lessor through the day of remaining defunded.
"Where the student is defunded by NSFAS due to a misrepresentation by the lessee/guardian at any stage, the student must immediately vacate the leased property; and will be liable for payment of all rent due to the accommodation provider.
"Where the student moves, accommodation providers without the check here prior approval of NSFAS, NSFAS may elect not to pay any rental to the new accommodation provider, and any such rental payments will be for the student own account," the scheme said.
The scheme emphasised that any dispute arising nsfas student allowances between the parties regarding the interpretation or implementation nsfas application delay of the agreement, must be dealt with in accordance with any dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za