Accommodation vendors urged to halt demanding deposit from NSFAS funded students
The National Student Financial Aid Scheme (NSFAS) has urged landlords never to require a deposit or top-up payment from NSFAS-funded students.
This arrives after NSFAS obtained reports about some accommodation providers who require NSFAS-funded students to pay for a deposit or top-up payment to be able to get access to the approved private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation vendors of your obligatory conditions, as provided by the Standardised Fixed-Term Lease Settlement concerning the personal accommodation providers and NSFAS funded students," NSFAS mentioned in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states which the rent will be paid out regular for the accommodation provider (lessor) by NSFAS, on behalf with the lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms for private accommodation suppliers’ participation on the student accommodation portal.
"The lessor may not demand or allow the lessee to pay a deposit, top-up payments, or some other forms of payment on the lessor, or any other person read more in connection with this arrangement, including payment of lease, though awaiting payment from NSFAS. The lessor shall have no recourse in opposition to the lessee for any default in the payment of rent by NSFAS," the agreement reads.
The NSFAS terms and conditions for private accommodation suppliers’ participation on the student accommodation portal check here also states that: "Where the NSFAS-funded student is defunded due to an incorrect choice by NSFAS, the coed won't be chargeable for payment click here of any arrear rent to the accommodation supplier, up until eventually the day of being nsfas defunded."
NSFAS stated that where the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding getting defunded by NSFAS, the student will be chargeable for payment of hire to the lessor in the date of being defunded.
"Where the student is defunded by NSFAS due to a misrepresentation by the lessee/guardian at check here 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 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