Accommodation companies urged to stop demanding deposit from NSFAS funded university 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 arrives soon after NSFAS acquired reports about some accommodation providers who demand NSFAS-funded students to pay a deposit or top-up payment so as to get entry to the accepted private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation providers of your obligatory conditions, as supplied by the Standardised Fixed-Term Lease Settlement involving the private accommodation suppliers and NSFAS funded students," NSFAS stated in an announcement on Thursday.
The Standardised Fixed-Term Lease Agreement states that the lease will be paid month-to-month to your accommodation provider (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for private accommodation suppliers’ participation on the student accommodation portal.
"The lessor may not involve or permit the lessee to pay a deposit, top-up payments, or some other varieties of payment towards the lessor, or some other person in reference to this arrangement, which more info include payment of hire, while awaiting payment from NSFAS. The lessor shall have no recourse towards the lessee for any default inside the payment of rent by NSFAS," the agreement 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 result of an incorrect decision by NSFAS, the check here student won't be answerable for payment of any arrear rent into the accommodation service provider, up until the day of being defunded."
NSFAS stated that where by the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding getting defunded by NSFAS, the student are going to be here chargeable for payment of rent into the lessor with the date 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 nsfas status check 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 here 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