Accommodation suppliers urged to halt demanding deposit from NSFAS funded college 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 immediately after NSFAS received experiences about some accommodation companies who need NSFAS-funded students to pay a deposit or top-up payment in an effort to get entry to the authorized private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation vendors in the compulsory conditions, as supplied by the Standardised Fixed-Term Lease Settlement involving the private accommodation suppliers and NSFAS funded students," NSFAS said in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states which the lease is going to be paid month to month for the accommodation service provider (lessor) by NSFAS, on behalf of the lessee (NSFAS funded student), in accordance with the NSFAS conditions and terms for private accommodation suppliers’ participation on the student accommodation portal.
"The lessor may not call for or allow the lessee to pay for a deposit, top-up payments, or any other kinds of payment into the lessor, or any other more info person in connection with this arrangement, like payment of lease, even though awaiting payment from NSFAS. The lessor shall haven't any recourse versus the lessee for any default in the payment of rent by NSFAS," the arrangement reads.
The NSFAS conditions and terms for private accommodation suppliers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded resulting from an incorrect selection by NSFAS, the coed nsfas tvet will not be accountable for payment of any arrear rent towards the accommodation provider, up until the day of being defunded."
NSFAS spelled out that the place the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding becoming defunded by NSFAS, the scholar is going to be chargeable for payment of rent into the lessor through the date of remaining 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 click here to pay any read more 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, read more must be dealt with in accordance with any dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za