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 immediately after NSFAS gained stories about some accommodation providers who need NSFAS-funded students to pay a deposit or top-up payment in an effort to get entry to the authorized private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation companies in the compulsory conditions, as furnished by the Standardised Fixed-Term Lease Arrangement concerning the private accommodation companies and NSFAS funded students," NSFAS reported in an announcement on Thursday.
The Standardised Fixed-Term Lease Agreement states the lease will likely be paid every month for the accommodation company (lessor) by NSFAS, on behalf of the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for private accommodation companies’ participation on the student accommodation portal.
"The lessor may not call for or allow the lessee to pay for a deposit, top-up payments, or another sorts of payment towards the lessor, or almost every other person in reference to this arrangement, such as payment of hire, whilst awaiting payment from NSFAS. The lessor shall don't have any recourse from the lessee for any default in the payment of rent by NSFAS," the agreement reads.
The NSFAS conditions and terms for private accommodation providers’ read more participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded as a result of an incorrect determination by NSFAS, the coed will not be answerable for payment of any arrear rent to your accommodation supplier, up right up until the date nsfas student document submission deadline of being defunded."
NSFAS stated that where by the NSFAS-funded student chooses to continue occupying here the leased premises, notwithstanding becoming defunded by NSFAS, the scholar will be answerable for payment of rent to the lessor with the date of remaining defunded.
"Where the student is defunded by NSFAS due to a misrepresentation by the lessee/guardian at any stage, the student must immediately check here vacate the leased property; and will be liable for payment of all rent due to the accommodation provider.
"Where the student moves, here 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