Accommodation vendors urged to end 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 immediately after NSFAS gained stories about some accommodation companies who need NSFAS-funded students to pay a deposit or top-up payment in order to get usage of the authorised private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation suppliers in the compulsory conditions, as furnished by the Standardised Fixed-Term Lease Agreement involving the personal accommodation companies and NSFAS funded students," NSFAS mentioned in a statement on Thursday.

The Standardised Fixed-Term Lease Agreement states the rent will be paid out every month to the accommodation service provider (lessor) by NSFAS, on behalf from the lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms for personal accommodation companies’ participation on the student accommodation portal.

"The lessor may not involve or allow the lessee to pay for a deposit, top-up payments, or almost every other kinds of payment to your lessor, or almost every other person in connection with this agreement, such as payment of rent, while awaiting payment from NSFAS. The lessor shall have no recourse from the lessee for any default while in the payment of rent by NSFAS," the agreement reads.

The NSFAS conditions and terms for private accommodation vendors’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded because of an incorrect choice by NSFAS, the coed won't read more be answerable for get more info payment of any arrear rent for the accommodation supplier, up right until the date of being defunded."

NSFAS defined that exactly where the NSFAS-funded student chooses to continue occupying the here leased premises, notwithstanding being defunded by NSFAS, the student is going to be liable for payment of rent for the lessor with the day 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 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 nsfas application delay 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 get more info dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za

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