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 reports about some accommodation companies who need NSFAS-funded students to pay a deposit or top-up payment to be able to get entry to the permitted private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation providers in the obligatory conditions, as provided by the Standardised Fixed-Term Lease Arrangement in between the non-public accommodation providers and NSFAS funded students," NSFAS stated in an announcement on Thursday.
The Standardised Fixed-Term Lease Agreement states which the rent will probably be paid every month to the accommodation provider (lessor) by NSFAS, on behalf of 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 require or allow the lessee to pay a deposit, top-up payments, or every other varieties of payment into the lessor, or any other person in connection with this agreement, together with payment of hire, though awaiting payment from NSFAS. The lessor shall have no recourse in opposition to the lessee for any default while in the payment of rent by NSFAS," the agreement nsfas tvet reads.
The NSFAS terms and conditions for private accommodation companies’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded due to an incorrect decision by NSFAS, the scholar will not be accountable for payment of any here arrear nsfas application delay rent to your accommodation company, up until finally the day of being defunded."
NSFAS described that the place the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding currently being defunded by NSFAS, the student will be chargeable for payment of rent on the lessor with the day of being defunded.
"Where the student is defunded by NSFAS due to a check here 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 nsfas eligibility criteria 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