Accommodation companies urged to end 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 arrives right after NSFAS received experiences about some accommodation suppliers who need 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 the obligatory conditions, as supplied by the Standardised Fixed-Term Lease Agreement concerning the personal accommodation providers and NSFAS funded students," NSFAS said in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states which the rent is going to be paid monthly into the accommodation supplier (lessor) by NSFAS, on behalf of the lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for personal accommodation providers’ 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 every other varieties of payment for the lessor, or another person in connection with this arrangement, which includes payment of hire, whilst awaiting payment from NSFAS. The lessor shall haven't any recourse against the lessee for any default from the payment of rent by NSFAS," the arrangement reads.
The NSFAS terms more info 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 more info scholar will not be responsible for payment of any arrear rent into the accommodation provider, up right until the date of being defunded."
NSFAS described that wherever the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding becoming defunded by NSFAS, the student is going to be answerable for payment of rent towards the lessor through the day of staying defunded.
"Where the student is defunded by NSFAS due to a misrepresentation by the lessee/guardian at any stage, the student must immediately vacate nsfas 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 more info 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 nsfas student document submission deadline procedure determined by NSFAS for this purpose.
From: SAnews.gov.za