Accommodation companies urged to end demanding deposit from NSFAS funded college students
The National Student Financial Aid Scheme (NSFAS) has urged landlords not to require a deposit or top-up payment from NSFAS-funded students.
This comes following NSFAS been given reports about some accommodation companies who require NSFAS-funded students to pay for a deposit or top-up payment as a way to get access to the approved private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation suppliers in the compulsory conditions, as furnished by the Standardised Fixed-Term Lease Arrangement amongst the personal accommodation vendors and NSFAS funded students," NSFAS mentioned in an announcement on Thursday.
The Standardised Fixed-Term Lease Agreement states that the lease will be paid regular monthly into the accommodation supplier (lessor) by NSFAS, on behalf of your lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for personal accommodation companies’ participation on the student accommodation portal.
"The lessor may not have to have or permit the lessee to pay a deposit, top-up payments, or another varieties of payment for the lessor, or almost every other person in connection with this agreement, together with payment of hire, although awaiting payment from NSFAS. The lessor shall don't have any recourse towards the lessee for any default in the payment of rent by NSFAS," get more info the agreement reads.
The NSFAS conditions and terms for private accommodation vendors’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded because of an incorrect choice by NSFAS, the coed won't be chargeable for payment of any arrear rent for the accommodation service provider, up till the day of being defunded."
NSFAS spelled out that the place the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding staying defunded by NSFAS, the scholar are going to be answerable for payment of hire towards the lessor click here in the day of currently being 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 nsfas tvet 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 get more info the student own account," the scheme said.
The scheme emphasised that any dispute arising between the parties regarding the interpretation or implementation of click here the agreement, must be dealt with in accordance with any dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za