ACCOMMODATION SUPPLIERS URGED TO STOP DEMANDING DEPOSIT FROM NSFAS FUNDED UNIVERSITY STUDENTS

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

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

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The National Student Financial Aid Scheme (NSFAS) has urged landlords to not require a deposit or top-up payment from NSFAS-funded students.

This comes soon after NSFAS acquired experiences about some accommodation companies who demand NSFAS-funded students to pay for a deposit or top-up payment in order to get entry to the approved private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation companies on the compulsory conditions, as provided by the Standardised Fixed-Term Lease Arrangement concerning the non-public accommodation vendors and NSFAS funded students," NSFAS explained in a statement on Thursday.

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

"The lessor may not involve or allow the lessee to pay for a deposit, top-up payments, or any other forms of payment to your lessor, or almost every other person in connection with this arrangement, which includes payment of hire, even though awaiting payment from NSFAS. The lessor shall have no recourse from the lessee for any default within the payment of rent by NSFAS," the arrangement reads.

The NSFAS conditions and terms for private accommodation check here providers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded resulting from an incorrect decision by NSFAS, the coed won't be responsible for payment of any arrear rent towards the accommodation company, up till the day of being defunded."

NSFAS explained that in which the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding being here defunded by NSFAS, the student is going to be chargeable for payment of hire to the lessor through the day of staying defunded.

"Where the student is defunded by read more NSFAS due to a misrepresentation by the lessee/guardian at any more info 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 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 nsfas allowances 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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