Accommodation providers urged to end demanding deposit from NSFAS funded college students
The National Student Financial Aid Scheme (NSFAS) has urged landlords to not demand a deposit or top-up payment from NSFAS-funded students.
This comes following NSFAS gained reports about some accommodation providers who require NSFAS-funded students to pay for a deposit or top-up payment to be able to get entry to the authorized private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation providers on the obligatory conditions, as supplied by the Standardised Fixed-Term Lease Settlement in between the private accommodation vendors and NSFAS funded students," NSFAS reported in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states the rent will probably be paid monthly to the accommodation provider (lessor) by NSFAS, on behalf of the lessee (NSFAS funded student), in accordance with the NSFAS conditions and terms for personal accommodation vendors’ participation on the student accommodation portal.
"The lessor may not require or permit the lessee to pay a deposit, top-up payments, or another forms of payment into the lessor, or almost every other person in reference to this agreement, including payment of rent, when awaiting payment from NSFAS. The lessor shall have no recourse against the lessee for any default within 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 because of an incorrect selection by NSFAS, the scholar won't be answerable for payment of any arrear rent into the accommodation supplier, up right up until the day of being defunded."
NSFAS discussed that where the more info NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding staying defunded by NSFAS, the scholar will be responsible for payment of hire into the lessor within the date 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 vacate the leased here property; and will be liable for payment of all rent due to the accommodation provider.
"Where the student moves, accommodation providers without the here prior approval of NSFAS, NSFAS may elect not nsfas status check 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 nsfas eligibility criteria determined by NSFAS for this purpose.
From: SAnews.gov.za