Accommodation vendors urged to halt demanding deposit from NSFAS funded college students



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

This comes after NSFAS acquired stories about some accommodation companies who need NSFAS-funded students to pay for a deposit or top-up payment so that you can get use of the authorised private accommodation.

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

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

"The lessor may not call for or allow the lessee to pay a deposit, top-up payments, or almost every other forms of payment into the lessor, or some other person in connection with this arrangement, which includes nsfas status check payment of rent, when awaiting payment from NSFAS. The lessor shall have no recourse towards the lessee for any default from the payment of rent by NSFAS," the agreement reads.

The NSFAS terms and conditions for private accommodation companies’ participation on the student accommodation portal also states nsfas academic pathways that: "Where the NSFAS-funded student is defunded as a consequence of an incorrect determination by NSFAS, the scholar will not click here be liable for payment of any arrear rent for the accommodation company, up until finally the day nsfas status check of being defunded."

NSFAS spelled out that the place the NSFAS-funded student chooses to carry on occupying the get more info leased premises, notwithstanding currently being defunded by NSFAS, the student will be accountable for payment of rent to the lessor from the day of staying 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 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 dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za

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