Accommodation suppliers urged to stop demanding deposit from NSFAS funded university students
The National Student Financial Aid Scheme (NSFAS) has urged landlords never to demand a deposit or top-up payment from NSFAS-funded students.
This arrives immediately after NSFAS obtained experiences about some accommodation providers who need NSFAS-funded students to pay for a deposit or top-up payment as a way to get use of the approved private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation suppliers in the compulsory conditions, as furnished by the Standardised Fixed-Term Lease Agreement concerning the non-public accommodation companies and NSFAS funded students," NSFAS stated in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states the rent will be paid out month-to-month to the accommodation supplier (lessor) by NSFAS, on behalf of the lessee (NSFAS funded student), in accordance with the NSFAS conditions and terms for private accommodation suppliers’ participation on the student accommodation portal.
"The lessor may not need or allow the lessee to pay for a deposit, top-up payments, or any other kinds of payment to your lessor, or almost every other person in connection with this arrangement, including payment of rent, when awaiting payment from NSFAS. The lessor shall have no recourse in opposition to the lessee for any default within click here the payment read more of rent by NSFAS," the agreement reads.
The NSFAS terms and conditions for private accommodation suppliers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded on read more account of an incorrect determination by NSFAS, the student will not be liable for payment of any arrear rent on the accommodation provider, up right until the date of being defunded."
NSFAS discussed that exactly where the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding getting defunded by NSFAS, the student are going to be answerable for payment of rent on the lessor within the date of nsfas student allowances 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 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 get more info with in accordance with any dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za