The National Student Financial Aid Scheme (NSFAS) has urged landlords not to demand a deposit or top-up payment from NSFAS-funded students.
This arrives after NSFAS been given reports about some accommodation companies who need NSFAS-funded students to pay for a deposit or top-up payment as a way to get use of the authorized private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation companies with the obligatory conditions, as furnished by the Standardised Fixed-Term Lease Settlement amongst the private accommodation companies and NSFAS funded students," NSFAS stated in an announcement on Thursday.
The Standardised Fixed-Term Lease Agreement states the rent is going to be paid out month-to-month for the accommodation company (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for personal accommodation vendors’ participation on the student accommodation portal.
"The lessor may not have to have or allow the lessee to pay a deposit, top-up payments, or every other types of payment to the lessor, or almost every other person in connection with this arrangement, together with payment of lease, although awaiting payment from NSFAS. The lessor shall have no recourse against the lessee for any default from the payment of rent by NSFAS," the agreement reads.
The NSFAS conditions and terms for private accommodation companies’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded because of an incorrect determination by NSFAS, the student will not be liable for payment of any arrear rent for the accommodation service provider, up until eventually the date of being defunded."
NSFAS discussed that where the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding staying defunded by NSFAS, the scholar are going to be responsible for payment of hire towards the lessor through the day of being defunded.
"Where the student is defunded by NSFAS due to a misrepresentation by nsfas eligibility criteria the lessee/guardian at any click here stage, the nsfas allowances 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 read more 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 nsfas eligibility criteria dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za