Accommodation vendors urged to stop demanding deposit from NSFAS funded college students
The National Student Financial Aid Scheme (NSFAS) has urged landlords never to require a deposit or top-up payment from NSFAS-funded students.
This comes soon after NSFAS gained stories about some accommodation providers who demand NSFAS-funded students to pay for a deposit or top-up payment as a way to get usage of the accredited private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation vendors in the compulsory conditions, as provided by the Standardised Fixed-Term Lease Agreement among the personal accommodation vendors and NSFAS funded students," NSFAS stated in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states the rent are going to be paid out every month to your accommodation supplier (lessor) by NSFAS, on behalf of the lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for private accommodation companies’ 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 some other forms of payment on the lessor, or any other person in reference to this arrangement, which includes payment of hire, even check here though awaiting payment from NSFAS. The lessor shall haven't any recourse against the lessee for any default in the payment of rent by NSFAS," 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 as a consequence of an incorrect decision by NSFAS, the student will not be responsible for payment of any arrear rent into the here accommodation provider, up right up until the date of being defunded."
NSFAS stated that where by the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding remaining defunded by NSFAS, the scholar is going to be chargeable for payment of lease on the lessor through 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 read more 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 nsfas that any dispute arising between the parties regarding the interpretation or implementation of the agreement, must nsfas university allowances be dealt with in accordance with any dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za