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 to not demand a deposit or top-up payment from NSFAS-funded students.
This comes right after NSFAS gained experiences about some accommodation companies who require NSFAS-funded students to pay for a deposit or top-up payment as a way to get usage of the approved private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation vendors on the compulsory conditions, as furnished by the Standardised Fixed-Term Lease Arrangement among the non-public accommodation suppliers and NSFAS funded students," NSFAS mentioned in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states the rent will be paid out month-to-month into the accommodation supplier (lessor) by NSFAS, on behalf of the lessee (NSFAS funded student), in accordance with the NSFAS conditions and terms for personal accommodation companies’ participation on the student accommodation portal.
"The lessor may not involve or permit the lessee to pay for a deposit, top-up payments, or some other varieties of payment into the lessor, or every other person in reference to this arrangement, including payment of rent, even though awaiting payment from NSFAS. The lessor shall haven't any recourse against the lessee for any default inside the payment of rent by NSFAS," the arrangement website reads.
The NSFAS conditions and terms for private accommodation suppliers’ read more participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded as a consequence of an incorrect determination by NSFAS, the scholar won't be liable for payment read more of any arrear rent towards the accommodation provider, up right up until the day of more info being defunded."
NSFAS spelled out that wherever the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding becoming defunded by NSFAS, the scholar are going to be chargeable for payment of lease into the lessor with the date of becoming 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 read more 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 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