Accommodation companies urged to stop demanding deposit from NSFAS funded university 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 arrives right after NSFAS gained experiences about some accommodation companies who require NSFAS-funded students to pay for a deposit or top-up payment so as to get usage of the accredited private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation vendors with the obligatory conditions, as supplied by the Standardised Fixed-Term Lease Arrangement amongst the non-public accommodation providers and NSFAS funded students," NSFAS mentioned in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states which the lease is going to be paid month-to-month into the accommodation company (lessor) by NSFAS, on behalf from the lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for personal accommodation vendors’ participation on the student accommodation portal.
"The lessor may not involve or allow the lessee to pay a deposit, top-up payments, or every other sorts of payment on the lessor, or another person in reference to this agreement, like payment of rent, while awaiting payment from NSFAS. The lessor shall haven't any recourse from the lessee for any default in the payment of rent more info by NSFAS," the agreement reads.
The NSFAS terms and conditions for private accommodation companies’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded because of an incorrect decision by NSFAS, the coed will not be chargeable for payment of any arrear rent into the accommodation company, up right up until the day of being defunded."
NSFAS stated that wherever the NSFAS-funded student chooses to nsfas academic pathways carry on occupying the leased premises, notwithstanding remaining defunded by NSFAS, the student will be chargeable for payment of rent towards the lessor in the day 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 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 website 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 website procedure determined here by NSFAS for this purpose.
From: SAnews.gov.za