Accommodation providers 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 comes after NSFAS been given reports about some accommodation suppliers who require NSFAS-funded students to pay for a deposit or top-up payment to be able to get access to the accepted private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation providers on the compulsory conditions, as furnished by the Standardised Fixed-Term Lease Settlement in between the non-public accommodation providers and NSFAS funded students," NSFAS explained in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states that the lease will probably be paid regular monthly to the accommodation supplier (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms for personal accommodation vendors’ participation on the student accommodation portal.
"The lessor may not demand or permit the lessee to pay a deposit, top-up payments, or some other types of payment on the lessor, or any other person in connection with this agreement, such as payment of lease, though awaiting nsfas student allowances payment get more info from NSFAS. The lessor shall have no recourse towards the lessee for any default during the payment of rent by NSFAS," the agreement reads.
The NSFAS terms and conditions for private accommodation companies’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded on account of an incorrect determination by NSFAS, the coed won't be accountable for payment of any arrear rent to the accommodation supplier, up until the date of being defunded."
NSFAS defined that the place the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding becoming defunded by NSFAS, the student is going to be accountable for payment of hire towards the lessor within read more the day of getting defunded.
"Where the student is defunded by NSFAS due to a misrepresentation by the lessee/guardian at any stage, the student must immediately nsfas eligibility criteria 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 the new accommodation provider, and any such rental website 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