Accommodation companies urged to stop demanding deposit from NSFAS funded university students
Accommodation companies urged to stop demanding deposit from NSFAS funded university students
Blog Article
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 right after NSFAS acquired stories about some accommodation companies who require NSFAS-funded students to pay a deposit or top-up payment as a way to get access to the accredited private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation companies with the obligatory conditions, as furnished by the Standardised Fixed-Term Lease Agreement concerning the private accommodation vendors and NSFAS funded students," NSFAS said in an announcement on Thursday.
The Standardised Fixed-Term Lease Agreement states that the lease is going to be paid regular towards the accommodation service provider (lessor) by NSFAS, on behalf of the lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for private accommodation vendors’ participation on the student accommodation portal.
"The lessor may not involve or allow the lessee to pay a deposit, top-up payments, or some other types of payment into the lessor, or almost every other person in connection with this arrangement, together with payment of hire, while awaiting payment from NSFAS. The lessor shall don't have any recourse in opposition more info to the lessee for any default from the payment of rent by NSFAS," the nsfas tvet arrangement reads.
The NSFAS conditions and terms for private accommodation vendors’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded due to an incorrect decision by NSFAS, the student won't be liable for payment of any arrear rent to more info the accommodation company, up till the date of being defunded."
NSFAS explained that where the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding staying defunded by NSFAS, the student will get more info be answerable for payment of lease for the lessor from your 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 prior website 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 between the parties regarding the interpretation or implementation of the agreement, must be dealt with in accordance with any dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za