Accommodation providers urged to end 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 following NSFAS been given experiences about some accommodation companies who demand NSFAS-funded students to pay a deposit or top-up payment in an effort to get usage of the authorised private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation companies in the compulsory conditions, as supplied by the Standardised Fixed-Term Lease Agreement in between the non-public accommodation companies and NSFAS funded students," NSFAS reported in a press release on Thursday.

The Standardised Fixed-Term Lease Agreement states which the lease are going to be paid out monthly for the accommodation supplier (lessor) by NSFAS, on behalf from the lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for personal accommodation companies’ participation on the student accommodation portal.

"The lessor may not involve or permit the lessee to pay for a deposit, top-up payments, or every other forms of payment towards the lessor, or some other person in connection with this agreement, which includes payment of rent, even though awaiting payment from NSFAS. The lessor shall don't have any recourse in opposition to the lessee for any default while in the payment of rent by NSFAS," the get more info arrangement more info 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 as a result of an incorrect choice by NSFAS, the student won't be answerable for payment of any arrear rent to your accommodation company, up until finally the day of being defunded."

NSFAS spelled out that wherever the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding becoming defunded by NSFAS, the scholar is going to be answerable for payment of hire to your lessor from 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 nsfas application delay must immediately vacate the leased property; and will be liable get more info 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 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 nsfas application delay by NSFAS for this purpose.
From: SAnews.gov.za

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