Accommodation companies urged to end demanding deposit from NSFAS funded students
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 received stories about some accommodation suppliers who demand NSFAS-funded students to pay for a deposit or top-up payment so that you can get entry to the authorised private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation vendors of the compulsory conditions, as provided by the Standardised Fixed-Term Lease Agreement between the non-public accommodation vendors and NSFAS funded students," NSFAS explained in an announcement on Thursday.
The Standardised Fixed-Term Lease Agreement states which the lease will probably be paid regular on the accommodation company (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms for private accommodation providers’ 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 forms of payment to the lessor, or another person in reference to this agreement, including check here payment of rent, though awaiting payment from NSFAS. The lessor shall don't have any recourse against the lessee for any default while in the payment of rent by NSFAS," the agreement reads.
The NSFAS click here terms and conditions for private accommodation companies’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded resulting from an incorrect choice by NSFAS, the student won't be responsible for payment of any arrear rent towards the accommodation service provider, nsfas allowances up until the day of being defunded."
NSFAS described that exactly where the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding remaining defunded by NSFAS, the student is going to be answerable for payment of hire to the lessor from your date of remaining defunded.
"Where the student is defunded by NSFAS due to a misrepresentation by the lessee/guardian at any nsfas login 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 nsfas university allowances 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