Accommodation companies urged to halt demanding deposit from NSFAS funded students



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

This arrives following NSFAS received experiences about some accommodation vendors who demand NSFAS-funded students to pay a deposit or top-up payment so that you can get access to the authorized private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation providers on the compulsory conditions, as furnished by the Standardised Fixed-Term Lease Agreement amongst the personal accommodation vendors and NSFAS funded students," NSFAS mentioned in an announcement on Thursday.

The Standardised Fixed-Term Lease Agreement states that the lease is going to be paid out monthly into the accommodation company (lessor) by NSFAS, on behalf in 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 involve or allow the lessee to pay for a deposit, top-up payments, or almost every other types of payment to the lessor, or almost every other person in reference to this read more agreement, which includes payment of lease, though awaiting payment from NSFAS. The lessor shall have no recourse in opposition to the lessee for any default in the payment of rent by NSFAS," the agreement reads.

The NSFAS terms and conditions for private accommodation suppliers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded due to an incorrect choice by NSFAS, the student will not click here be accountable for payment of any arrear rent for the accommodation service provider, up until eventually the date of being defunded."

NSFAS spelled out that exactly where the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding staying defunded by NSFAS, the scholar will be accountable for payment of rent to your lessor in the date of currently being defunded.

"Where more info the student more info 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 click here 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 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

Leave a Reply

Your email address will not be published. Required fields are marked *