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 following NSFAS obtained experiences about some accommodation companies who need NSFAS-funded students to pay for a deposit or top-up payment in order to get usage of the approved private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation companies with the compulsory conditions, as supplied by the Standardised Fixed-Term Lease Arrangement among the personal accommodation suppliers and NSFAS funded students," NSFAS reported in an announcement on Thursday.
The Standardised Fixed-Term Lease Agreement states which the rent will be paid regular to your accommodation service provider (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms for private accommodation companies’ participation on the student accommodation portal.
"The lessor may not involve or allow the lessee to pay a deposit, top-up payments, or another types of payment to your lessor, or every other person in reference to this agreement, together with payment of hire, whilst awaiting payment from NSFAS. The lessor shall haven't any recourse versus the lessee for any default in the payment of rent by NSFAS," the agreement reads.
The NSFAS conditions click here and terms for private accommodation providers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded as a consequence of an incorrect selection by NSFAS, the scholar will not be responsible for payment of any arrear rent into the here accommodation provider, up until eventually click here the date of being defunded."
NSFAS stated that where the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding becoming defunded by NSFAS, the student will be responsible for payment of lease to the lessor in the day of being 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," here 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: here SAnews.gov.za