Accommodation companies urged to stop demanding deposit from NSFAS funded college students
Accommodation companies urged to stop demanding deposit from NSFAS funded college students
Blog Article
The National Student Financial Aid Scheme (NSFAS) has urged landlords not to require a deposit or top-up payment from NSFAS-funded students.
This arrives after NSFAS received experiences about some accommodation companies who demand NSFAS-funded students to pay for a deposit or top-up payment in order to get usage of the permitted private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation providers with the obligatory conditions, as furnished by the Standardised Fixed-Term Lease Agreement involving the private accommodation companies and NSFAS funded students," NSFAS stated in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states that the lease will be paid month-to-month into the accommodation company (lessor) by NSFAS, on behalf with the lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for personal accommodation suppliers’ participation on the student accommodation portal.
"The lessor may not demand or permit the lessee to pay for a deposit, top-up payments, or another sorts of payment to the lessor, or every other person in connection with this agreement, like payment of hire, although awaiting payment from NSFAS. The lessor shall haven't any recourse from the lessee for any default inside the payment of rent by NSFAS," the agreement reads.
The NSFAS terms click here and conditions for private accommodation vendors’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded because of an incorrect decision by NSFAS, the student won't be chargeable for payment of any arrear rent for the accommodation service provider, up right until the day of being defunded."
NSFAS described that where the NSFAS-funded student chooses to check here continue occupying the leased premises, notwithstanding becoming defunded by NSFAS, the scholar is going to be liable for payment of hire for the lessor within the date of remaining defunded.
"Where here the student is defunded by NSFAS due to read more 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 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 here 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