Accommodation vendors urged to stop demanding deposit from NSFAS funded university students
The National Student Financial Aid Scheme (NSFAS) has urged landlords to not demand a deposit or top-up payment from NSFAS-funded students.
This arrives after NSFAS gained experiences about some accommodation companies who need NSFAS-funded students to pay for a deposit or top-up payment as a way to get entry to the authorised private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation providers in the compulsory conditions, as furnished by the Standardised Fixed-Term Lease Agreement involving the non-public accommodation vendors and NSFAS funded students," NSFAS stated in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states that the lease will be paid regular monthly to your accommodation company (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for private 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 any other forms of payment into the lessor, or almost every other person in connection with this arrangement, which includes payment of rent, when awaiting payment from NSFAS. The lessor more info shall haven't any recourse in opposition to the lessee for any default inside the payment of rent by NSFAS," the arrangement 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 because of an incorrect selection by NSFAS, the student will not be responsible for payment of any arrear rent into the accommodation provider, up right up until the day of website being defunded."
NSFAS website explained 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 chargeable for payment of hire to your lessor within the day of currently being defunded.
"Where the student is defunded by NSFAS due to a misrepresentation by the lessee/guardian check here 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 website 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