Cape Town - A R10 bank charge per social grant recipient has been labelled “unjustified abuse of the poor” by the Western Cape Department of Social Development, saying the cost is SA Social Security Agency’s doing.
Sassa’s executive manager of grants administration Dianne Dunkerley told Parliament last month the charges are a result of the Constitutional Court granting the Cash Paymaster Services (CPS) a six-month extension to continue cash payments until September.
Sassa, which makes use of Grindrod Bank without a contract, now faces the additional cost incurred, but beneficiaries are made to foot the bill.
“This is an unjustified abuse of the poor, considering the charge is effectively the consequence of the mishandling by Sassa, of its self-created grant crisis. The poor are expected to foot this bill. This tardy administration by Sassa is unacceptable,” said spokesperson Sihle Ngobese.
Black Sash Trust, which took Sassa to the Concourt to ensure the payment system would be protected when the contract between Sassa and CPS ends, said Sassa should repay beneficiaries.
“Sassa failed to disclose to the court that beneficiaries would bear the brunt of the costs. Grindrod sent out a notice saying it is putting up its fees, so beneficiaries now pay R10 and withdrawal fees.
“We wrote to Sassa and the portfolio committee to raise problems with this. Sassa must pay until the card migration happens. Sassa created the bank account and must be responsible,” said national director Lynette Maart.
Acting Sassa spokesperson Mahlaku Tshediso said he was unaware of the R10 charge and was only aware of nominal fees charged with all transactions.
“Grindrod is a bank and has transaction fees like any other. On the 16th of this month, Sassa will migrate to the Post Office and no one will be charged a cent. It’s the first time I hear of Grindrod beginning to charge people.”
@IamAthinaMay