Accommodation companies urged to halt demanding deposit from NSFAS funded college students
Accommodation companies urged to halt demanding deposit from NSFAS funded college students
Blog Article
The National Student Financial Aid Scheme (NSFAS) has urged landlords never to demand a deposit or top-up payment from NSFAS-funded students.
This comes right after NSFAS acquired stories about some accommodation providers who demand NSFAS-funded students to pay for a deposit or top-up payment in order to get usage of the approved private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation suppliers from the obligatory conditions, as supplied by the Standardised Fixed-Term Lease Settlement concerning the personal accommodation companies and NSFAS funded students," NSFAS explained in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states which the rent will be paid out month to month for the accommodation company (lessor) by NSFAS, on behalf of your lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for personal accommodation providers’ participation on the student accommodation portal.
"The lessor may not demand or allow the lessee to pay a deposit, top-up payments, or almost every other forms of payment to your lessor, or almost every other person in more info connection with this arrangement, which includes payment of hire, although awaiting payment from NSFAS. The lessor shall haven't any recourse from the lessee for any default from the payment of check here rent by NSFAS," the agreement reads.
The NSFAS terms and read more conditions for private accommodation companies’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded as a result of an incorrect selection by nsfas allowances NSFAS, the scholar will not be responsible for payment of any arrear rent to the accommodation service provider, up right up until the day of being defunded."
NSFAS explained that the place the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding being defunded by NSFAS, the student is going to be chargeable for payment of hire to the lessor from your day of staying 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 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 read more 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