Accommodation providers 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 comes soon after NSFAS received stories about some accommodation suppliers who demand NSFAS-funded students to pay for a deposit or top-up payment so as 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 non-public accommodation vendors and NSFAS funded students," NSFAS stated in an announcement on Thursday.

The Standardised Fixed-Term Lease Agreement states the lease might be paid out monthly towards the accommodation supplier (lessor) by NSFAS, on behalf from the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for personal accommodation vendors’ participation on the student accommodation portal.

"The lessor may not involve or allow the lessee to pay a deposit, top-up payments, or some other types of payment towards the lessor, or every other person in reference to this arrangement, which nsfas document submission deadline includes payment of rent, while awaiting payment from NSFAS. The lessor shall haven't any recourse in opposition to the lessee for any default inside the payment of rent by NSFAS," the agreement reads.

The NSFAS conditions and terms for private accommodation providers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded due to an incorrect selection by NSFAS, the student won't be accountable for payment of any arrear rent into the accommodation supplier, up till the day of being defunded."

NSFAS defined that wherever the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding currently being defunded by NSFAS, the scholar will be chargeable for payment of rent for the lessor within the date of getting defunded.

"Where the student is nsfas application delay defunded by NSFAS due to a misrepresentation by the lessee/guardian at any stage, the student must immediately more info 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 may elect not to pay any rental to the new accommodation provider, and any such rental payments will be for the student own account," website 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 read more this purpose.
From: SAnews.gov.za

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