Accommodation providers urged to halt demanding deposit from NSFAS funded university 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 arrives after NSFAS gained reports about some accommodation companies who require NSFAS-funded students to pay a deposit or top-up payment in an effort to get use of the authorised private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation suppliers of the compulsory conditions, as supplied by the Standardised Fixed-Term Lease Agreement concerning the personal accommodation providers and NSFAS funded students," NSFAS reported in an announcement on Thursday.
The Standardised Fixed-Term Lease Agreement states that the lease will likely be paid out regular monthly into the accommodation provider (lessor) by NSFAS, on behalf in the lessee (NSFAS funded student), in accordance with the NSFAS conditions and terms for private accommodation companies’ participation on the student accommodation portal.
"The lessor may not need or allow the lessee to pay for a deposit, top-up payments, or some other types of payment to the lessor, or any other person in reference to this agreement, including payment of lease, although awaiting payment from NSFAS. The lessor shall haven't any recourse versus the lessee for any default inside 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 due to an incorrect selection by NSFAS, the student won't be liable for payment of any arrear rent for the accommodation company, click here up until the date of being defunded."
NSFAS explained that where the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding staying defunded by NSFAS, the scholar are going to be liable for payment of hire to the lessor through the 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 website 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 payments will be for the student own account," the nsfas tvet scheme said.
The scheme emphasised that here any dispute arising between the parties regarding the interpretation or implementation read more of the agreement, must be dealt with in accordance with any dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za