Accommodation companies urged to stop demanding deposit from NSFAS funded college students
Accommodation companies urged to stop demanding deposit from NSFAS funded college students
Blog Article
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 following NSFAS obtained stories about some accommodation companies who require NSFAS-funded students to pay a deposit or top-up payment to be able to get usage of the approved private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation companies on the obligatory conditions, as provided by the Standardised Fixed-Term Lease Agreement concerning the non-public accommodation vendors and NSFAS funded students," NSFAS explained in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states which the lease might be paid regular monthly into the accommodation provider (lessor) by NSFAS, on behalf of your lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms for private accommodation companies’ participation on the student accommodation portal.
"The lessor may not have to have or permit the lessee to pay for a deposit, top-up payments, or almost every other kinds of payment into the lessor, or some other person in reference to this agreement, such as payment of hire, although awaiting payment from NSFAS. The lessor shall haven't any recourse in opposition to the lessee here for any default in the payment of rent by NSFAS," the agreement reads.
The NSFAS conditions and terms for website private accommodation providers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded due to an incorrect read more choice by NSFAS, the scholar won't be responsible for payment of any arrear rent towards the accommodation service provider, up until the date of being defunded."
NSFAS described that wherever the NSFAS-funded student click here chooses to carry on occupying the leased premises, notwithstanding being defunded by NSFAS, the scholar are going to be accountable for payment of rent towards the lessor through the date of currently being 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 click here 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 with in accordance with any dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za