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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 soon after NSFAS obtained stories 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 on the obligatory conditions, as furnished by the Standardised Fixed-Term Lease Settlement concerning the non-public accommodation vendors and NSFAS funded students," NSFAS said in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states which the lease will probably be paid regular to your accommodation company (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance with the NSFAS conditions and terms for private accommodation vendors’ 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 every other forms of payment to your lessor, or some other person in reference to this agreement, including payment of lease, while awaiting payment from NSFAS. The lessor shall don't have any recourse against the lessee for any default from the payment of rent by NSFAS," the agreement reads.
The NSFAS terms and conditions for private accommodation vendors’ participation on the student accommodation portal also states that: "Where the NSFAS-funded nsfas student allowances student is defunded on account of an incorrect determination by NSFAS, the student will not be answerable for payment of any arrear rent towards the accommodation company, up right until the date of being defunded."
NSFAS described that wherever the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding being defunded by NSFAS, the student will be accountable for payment of lease for the lessor through the date nsfas of getting 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 website 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 read more 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 read more dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za