Accommodation providers urged to stop demanding deposit from NSFAS funded university students



The National Student Financial Aid Scheme (NSFAS) has urged landlords never to require a deposit or top-up payment from NSFAS-funded students.

This arrives after NSFAS been given reports about some accommodation companies who demand NSFAS-funded students to pay for a deposit or top-up payment as a way to get usage of the accepted private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation vendors from the compulsory conditions, as furnished by the Standardised Fixed-Term Lease Arrangement concerning the personal accommodation companies and NSFAS funded students," NSFAS mentioned in a press release on Thursday.

The Standardised Fixed-Term Lease Agreement states the lease will probably be paid regular on the accommodation provider (lessor) by NSFAS, on behalf with the lessee (NSFAS funded student), in accordance with the NSFAS conditions and terms for personal accommodation companies’ participation on the student accommodation portal.

"The lessor may not require or permit the lessee to pay for a deposit, top-up payments, or some other sorts of payment to your lessor, or any other person in connection with this arrangement, which includes payment of hire, although nsfas document submission deadline awaiting payment from NSFAS. The lessor shall haven't any recourse from the lessee for any default while in the payment of rent by NSFAS," the arrangement reads.

The NSFAS terms and conditions for private accommodation vendors’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded because of an incorrect decision by NSFAS, the coed won't be responsible for payment of any arrear rent towards the accommodation service provider, up until the date of being defunded."

NSFAS explained that in which the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding being defunded by NSFAS, the scholar nsfas is going to be liable for payment of rent to your lessor from the date of being defunded.

"Where the student is defunded by NSFAS due to a misrepresentation by the lessee/guardian at any stage, the student must immediately click here vacate the leased property; and will be liable for payment of all rent due click here 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 here the agreement, must be dealt with in accordance with any dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za

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