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 following NSFAS gained experiences about some accommodation companies who need NSFAS-funded students to pay for a deposit or top-up payment so as to get usage of the accepted private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation suppliers with the compulsory conditions, as provided by the Standardised Fixed-Term Lease Agreement involving the personal accommodation suppliers and NSFAS funded students," NSFAS reported in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states the lease might be paid regular to the accommodation supplier (lessor) by NSFAS, on behalf of the lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms for personal accommodation companies’ participation on the student accommodation portal.
"The lessor may not require or allow the lessee to pay a deposit, top-up payments, or another sorts of payment towards the lessor, or almost every other person in reference to this agreement, like payment of hire, although awaiting payment from NSFAS. The lessor shall haven't any recourse against the lessee for any default from the payment of rent by NSFAS," the agreement reads.
The NSFAS conditions and here terms for private accommodation vendors’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded as a consequence of an incorrect choice by NSFAS, the coed won't be liable for payment of any arrear rent for the accommodation company, up until finally the day of being defunded."
NSFAS explained that where by the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding website becoming defunded by NSFAS, the student will be chargeable for payment of hire into more info the lessor from 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 providers without the prior approval of NSFAS, NSFAS may elect not to pay any rental to the new accommodation provider, and any such rental read more 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 here dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za