SASSA’s Report On How Social Grants Will Be Paid, Creates More Confusion Than Clarity.
Monday 29 January 2018
The Constitutional Court direction of 07 November 2017 ordered SASSA to report on how payment of social grants will be made to grant beneficiaries when Cash Payment Services (CPS) will no longer be responsible for the national payment of social grants from 01 April 2018.
In December 2017, the IMC announced that SASSA had reached an agreement with the South African Post Office (SAPO) to pay social grants to a category of grant beneficiaries.We remain concerned by the lack of clarity around the proposed ‘Hybrid’payment model, in particular how cash payments will be made, as well as the transfer of beneficiaries to commercial bank accounts. Both these options present an opportunity for CPS and Net1 to continue the payment of social grants beyond 31 March 2018.
There are an estimated 17 million social grant beneficiaries serviced currently by approximately R10.5 bank accounts. SASSA has identified approximate 2 million beneficiaries that have their social grant paid into a private bank account. Grant beneficiaries will not receive their social grant in full and be saddled with the banking fees that they can barely afford and unauthorised, illegal and unlawful deductions and debit orders.