Accommodation companies urged to halt demanding deposit from NSFAS funded 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 soon after NSFAS received stories about some accommodation companies who need NSFAS-funded students to pay a deposit or top-up payment so that you can get entry to the approved private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation providers of the obligatory conditions, as furnished by the Standardised Fixed-Term Lease Agreement in between the personal accommodation companies and NSFAS funded students," NSFAS reported in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states that the rent is going to be paid monthly to the accommodation provider (lessor) by NSFAS, on behalf in the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for private accommodation providers’ participation on the student accommodation portal.
"The lessor may not call for or allow the lessee to pay for a deposit, top-up payments, or every other sorts of payment for the lessor, or every other person in connection with this arrangement, together with payment of lease, when awaiting payment from NSFAS. The lessor shall have no recourse towards the lessee for any default while in the payment of rent by NSFAS," more info the arrangement 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 due to an incorrect selection by NSFAS, the student will not be answerable for payment of any arrear rent to your accommodation service provider, up till the day of being defunded."
NSFAS defined that wherever the get more info NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding currently being defunded by NSFAS, the student is going to be chargeable for nsfas status check payment of rent for 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 here 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 more info dealt with in accordance with any dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za