Accommodation suppliers urged to halt demanding deposit from NSFAS funded college 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 immediately after NSFAS obtained reports about some accommodation suppliers who need NSFAS-funded students to pay a deposit or top-up payment in an effort to get usage of the accepted private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation companies from the obligatory conditions, as supplied by the Standardised Fixed-Term Lease Arrangement amongst the personal accommodation providers and NSFAS funded students," NSFAS stated in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states which the lease are going to be paid out monthly into the accommodation company (lessor) by NSFAS, on behalf with the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for personal accommodation companies’ participation on the student accommodation portal.
"The lessor may not demand or allow the lessee to pay for a deposit, top-up payments, or every other forms of payment into the lessor, or almost every other person in connection with this arrangement, which include payment of rent, while awaiting payment from NSFAS. The lessor shall don't have any recourse versus the lessee for any get more info default in the payment of rent by NSFAS," the agreement reads.
The NSFAS terms and conditions for private accommodation vendors’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded as a result of an incorrect determination by NSFAS, the scholar won't be chargeable for payment of any arrear rent towards the accommodation company, up till the date of being defunded."
NSFAS described that wherever the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding becoming defunded by NSFAS, the student are going to be accountable for payment of lease on the lessor from the nsfas status check date of remaining defunded.
"Where the student is defunded by NSFAS due to a misrepresentation by the lessee/guardian at any stage, the student must immediately nsfas status check vacate the leased property; and will here 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 get more info 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