Accommodation vendors urged to end demanding deposit from NSFAS funded 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 arrives just after NSFAS received reports about some accommodation vendors who need NSFAS-funded students to pay a deposit or top-up payment in an effort to get usage of the approved private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation providers of the compulsory conditions, as provided by the Standardised Fixed-Term Lease Settlement among the personal accommodation companies and NSFAS funded students," NSFAS stated in a press release on Thursday.

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

"The lessor may not need or allow the lessee to pay a deposit, top-up payments, or some other types of payment on the lessor, or some other person in connection with this arrangement, which includes payment of rent, whilst awaiting payment from NSFAS. The lessor shall don't have any recourse versus the lessee for any default inside the payment of rent by NSFAS," the arrangement 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 get more info incorrect determination by NSFAS, the student will not be liable for payment of any arrear rent on the accommodation provider, up until finally the day of being defunded."

NSFAS described that where by the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding becoming defunded by NSFAS, the student are going to be chargeable for payment of lease for the lessor within the date of getting defunded.

"Where the student is defunded by NSFAS due to nsfas university allowances 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 click here 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 nsfas allowances arising between the parties regarding the interpretation or implementation of the agreement, must be dealt with in accordance nsfas with any dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za

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