Accommodation companies urged to end demanding deposit from NSFAS funded university 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 following NSFAS been given experiences about some accommodation providers who need NSFAS-funded students to pay for a deposit or top-up payment in an effort to get access to the permitted private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation providers in the obligatory conditions, as provided by the Standardised Fixed-Term Lease Arrangement between the personal accommodation suppliers and NSFAS funded students," NSFAS said in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states which the lease will likely be paid every month to the accommodation supplier (lessor) by NSFAS, on behalf with 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 need or allow the lessee to pay for a deposit, top-up payments, or any other types of payment on the lessor, or every other person in connection with this agreement, such as payment of rent, whilst awaiting payment from NSFAS. The lessor shall have no recourse against the lessee for any default in the payment of rent check here by NSFAS," get more info the arrangement reads.
The NSFAS terms and conditions for private accommodation suppliers’ participation on the student accommodation click here portal also states that: "Where the NSFAS-funded student is defunded due to an incorrect selection by NSFAS, the scholar will not be chargeable for payment of any arrear rent towards the accommodation company, up right up until the day of being defunded."
NSFAS defined that where the NSFAS-funded student chooses to carry on occupying the nsfas tvet leased premises, notwithstanding staying defunded by NSFAS, the scholar are going to be chargeable for payment of rent to your lessor from 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 university allowances 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 by NSFAS for this purpose.
From: SAnews.gov.za