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 obtained stories about some accommodation companies who require NSFAS-funded students to pay a deposit or top-up payment so as to get use of the permitted private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation suppliers with the compulsory conditions, as provided by the Standardised Fixed-Term Lease Agreement between the non-public accommodation suppliers and NSFAS funded students," NSFAS mentioned in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states that the lease is going to be paid out month to month towards the accommodation service provider (lessor) by NSFAS, on behalf with the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for personal accommodation companies’ participation on the student accommodation portal.
"The lessor may not call for or permit the lessee to pay for a deposit, top-up payments, or some other types of payment into the lessor, or some 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 inside the payment of rent by NSFAS," here the arrangement reads.
The NSFAS terms and conditions for private accommodation suppliers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded as a result get more info of an incorrect determination by NSFAS, the coed won't be accountable for payment of any arrear rent to your accommodation supplier, up right until the date of being defunded."
NSFAS stated that exactly where the NSFAS-funded student chooses to carry on occupying more info the leased premises, notwithstanding being defunded by NSFAS, the student are going to be liable for payment of lease to your lessor from the date of staying defunded.
"Where the student is defunded by NSFAS due to a misrepresentation by more info the lessee/guardian at any stage, the student must immediately vacate the leased property; and will be liable for payment of all rent nsfas student allowances 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