Accommodation suppliers urged to end demanding deposit from NSFAS funded college 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 arrives following NSFAS acquired experiences about some accommodation suppliers who require NSFAS-funded students to pay for a deposit or top-up payment in order to get usage of the permitted private accommodation.

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

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

"The lessor may not have to have or permit the lessee to pay for a deposit, top-up payments, or some other types of payment to your lessor, or every other person in reference to this agreement, together with payment of rent, when awaiting payment from NSFAS. The lessor shall don't have any recourse from the lessee for any default inside the payment of rent by NSFAS," the arrangement reads.

The NSFAS terms and conditions for private accommodation vendors’ participation on the student accommodation portal read more also states that: "Where the NSFAS-funded student is defunded nsfas university allowances resulting from an incorrect decision by NSFAS, the coed won't be liable for payment of any arrear rent towards the accommodation supplier, up right until the day of being defunded."

NSFAS stated that where the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding being defunded by NSFAS, the scholar are going to be answerable for payment of hire to the lessor in the date of being defunded.

"Where the student is defunded by NSFAS due nsfas eligibility criteria 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 here 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 nsfas student document submission deadline 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

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