Accommodation providers urged to stop demanding deposit from NSFAS funded students
The National Student Financial Aid Scheme (NSFAS) has urged landlords to not require a deposit or top-up payment from NSFAS-funded students.
This comes soon after NSFAS obtained stories about some accommodation suppliers who demand NSFAS-funded students to pay a deposit or top-up payment in an effort to get usage of the accredited private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation suppliers from the obligatory conditions, as furnished by the Standardised Fixed-Term Lease Agreement amongst the personal accommodation providers and NSFAS funded students," NSFAS reported in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states that the lease will be paid out monthly towards the accommodation service provider (lessor) by NSFAS, on behalf of the lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms for private accommodation providers’ participation on the student accommodation portal.
"The lessor may not need or allow the lessee to pay for a deposit, top-up payments, or another sorts of payment for the lessor, or another person in connection with this arrangement, which include payment of lease, 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 terms 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 determination nsfas status check by NSFAS, the scholar will not be answerable for payment of any arrear rent towards the accommodation company, up till the date of being defunded."
NSFAS defined that the place the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding remaining defunded by NSFAS, the student is going to be answerable for payment of rent to the lessor from your 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 the leased property; and will be liable for payment of all rent due more info to the accommodation provider.
"Where check here the student moves, accommodation providers without the prior approval of check here 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 click here for this purpose.
From: SAnews.gov.za