SASSA Extends Postbank Agreement Termination
SASSA Extends Postbank Agreement Termination- Image: SASSA

Over two million SASSA beneficiaries across South Africa could be left without their monthly grants if the SASSA–Postbank agreement is not renewed by the end of September. With no replacement payment platform in place, millions could miss vital support starting October 2025, warns the Democratic Alliance .

Urgent Deadline: Postbank Contract Ends September

The current Master Service Agreement between SASSA and Postbank expires at the end of September 2025. In its recent Public Protector report, serious failures—such as payment delays and irregular appointments—were uncovered in the partnership.

  • No extension has been confirmed
  • No alternative provider appointed
  • SASSA lacks clearing-system status, which means it cannot process payments independently

According to the DA, this leaves 2 169 371 beneficiaries at risk—including recipients of child support, disability, and old-age grants.

What Can Be Done?

To avoid a payment crisis in October, SASSA must take immediate action:

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  1. Secure a new provider with SASSA’s clearance and credibility
  2. Renew its contract with Postbank, despite compliance issues
  3. Obtain recognition as a clearing participant—a technically complex but necessary step

DA Called for Parliamentary Accountability

The DA has urged Parliament to hold SASSA, Postbank, and the Reserve Bank (SARB) accountable in an emergency hearing. They also recommend that beneficiaries switch to reputable banks for their grant payments.

 What This Means for You

  • More than 2 million vulnerable South Africans risk missing grant payments in October
  • Immediate decisions are needed to secure payment systems
  • Beneficiaries are advised to update bank accounts ahead of time to avoid interruptions

With the deadline approaching fast, there is little time left to prevent a potential social security crisis. Pondoland Times will continue to follow developments and alert readers of any official updates or emergency plans.

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