Accommodation companies urged to halt demanding deposit from NSFAS funded college students
Accommodation companies urged to halt demanding deposit from NSFAS funded college students
Blog Article
The National Student Financial Aid Scheme (NSFAS) has urged landlords never to demand a deposit or top-up payment from NSFAS-funded students.
This comes after NSFAS received stories about some accommodation providers who need NSFAS-funded students to pay for a deposit or top-up payment so that you can get use of the approved private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation companies of the compulsory conditions, as supplied by the Standardised Fixed-Term Lease Settlement between the private accommodation suppliers and NSFAS funded students," NSFAS said in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states the rent might be paid out regular monthly to your accommodation service provider (lessor) by NSFAS, on behalf from the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for private accommodation suppliers’ participation on the student accommodation portal.
"The lessor may not have to have or allow the lessee to pay for a deposit, top-up payments, or almost every other varieties of payment into the lessor, or any other person in reference to this arrangement, together with payment of hire, when awaiting payment from NSFAS. The lessor shall don't have any recourse in opposition to the lessee for any default while nsfas eligibility criteria in the payment of rent by NSFAS," the agreement reads.
The NSFAS terms and conditions for private accommodation providers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded on account of an incorrect choice by NSFAS, the student won't be chargeable for payment of any arrear rent into the nsfas allowances accommodation company, up right up until the more info date of being defunded."
NSFAS stated that the place the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding staying defunded by NSFAS, the student are going to be responsible for payment of rent to your 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 nsfas academic pathways without the prior approval of NSFAS, NSFAS may elect not to pay any read more 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 procedure determined by NSFAS for this purpose.
From: SAnews.gov.za