Accommodation providers urged to halt demanding deposit from NSFAS funded university 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 acquired stories about some accommodation suppliers who need NSFAS-funded students to pay a deposit or top-up payment in order to get entry to the permitted private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation providers of the compulsory conditions, as provided by the Standardised Fixed-Term Lease Agreement in between the private accommodation providers and NSFAS funded students," NSFAS reported in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states the rent will likely be paid out every month on the accommodation provider (lessor) by NSFAS, on behalf with the lessee (NSFAS funded student), in accordance with the NSFAS conditions and terms for private accommodation vendors’ participation on the student accommodation portal.
"The lessor may not have to have or permit the lessee to pay for a deposit, top-up payments, or some other types of payment to the lessor, or some other person in reference to this arrangement, such as payment of lease, when awaiting payment from NSFAS. The lessor shall haven't any recourse against the lessee for any default inside 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 coed won't be liable for payment of any arrear rent towards the accommodation company, up until the date of being defunded."
NSFAS defined that the place the NSFAS-funded student chooses website to continue occupying the leased premises, notwithstanding nsfas application delay remaining defunded by NSFAS, the student will be liable for payment of lease towards the lessor from the day of staying defunded.
"Where the student is defunded by NSFAS due to a nsfas university allowances 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 to click here 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 website of the agreement, must be dealt with in accordance with any dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za