Accommodation companies urged to end demanding deposit from NSFAS funded students



The National Student Financial Aid Scheme (NSFAS) has urged landlords not to demand a deposit or top-up payment from NSFAS-funded students.

This comes following NSFAS obtained stories about some accommodation vendors 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 companies on the obligatory conditions, as furnished by the Standardised Fixed-Term Lease Settlement among the private accommodation providers and NSFAS funded students," NSFAS reported in an announcement on Thursday.

The Standardised Fixed-Term Lease Agreement states that the lease might be paid out month-to-month for the accommodation supplier (lessor) by NSFAS, on behalf from the lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for personal accommodation companies’ participation on the student accommodation portal.

"The lessor may not demand or allow the lessee to pay for a deposit, top-up payments, or some other kinds of payment for the lessor, or every other person in reference to this arrangement, which includes payment website of hire, while awaiting payment from NSFAS. The lessor shall don't have any recourse against the lessee for any default during the payment of rent by NSFAS," the agreement reads.

The NSFAS conditions and terms for private accommodation companies’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded due to an incorrect decision by NSFAS, the coed won't be accountable for payment of any arrear rent to your accommodation service provider, read more up right up until the date of being defunded."

NSFAS discussed that where by the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding getting defunded by NSFAS, get more info the student is going to be answerable for payment of rent towards the lessor from your 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 of NSFAS, NSFAS may elect not to pay any rental to get more info 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 nsfas document submission deadline procedure determined by NSFAS for this purpose.
From: SAnews.gov.za

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