A minimum of 100,000 additional social grant payments now go into Shoprite‘s Money Market accounts every month as beneficiaries struggle with Postbank system dysfunction, according to Jean Olivier, general manager of Shoprite’s financial services division.
Postbank distributes social grants for the SA Social Security Agency (SASSA). Last week, reports emerged that 600,000 recipients got only part of their grant or nothing. This ongoing issue has led many grant beneficiaries to find alternate ways to get their funds, including Shoprite’s Money Market accounts according to News24.
In Olivier’s words:
“People spend a lot of time and money, particularly taxi money, to go and drive to an ATM or to a store only to find out that their Sassa [Postbank] gold card is not working because of a system error. It can cost between R50 and R75 per round trip for taxis.”
With Shoprite’s Money Market account, beneficiaries can avoid these unnecessary costs. An SMS automatically informs them of deposits, accessible via mobile phone at home or in-store.
“There is therefore no need for unnecessary trips to and from shops,” Olivier stated.
Postbank Woes
Postbank-linked Sassa cards have created major difficulties for beneficiaries trying to withdraw cash at ATMs or make purchases, with frequent system outages leaving cards declined or unusable. However, those receiving Sassa grants directly into other bank accounts or Shoprite’s Money Market have not faced the same problems.
Per Olivier, Postbank’s issues are unlikely to be fixed soon. Given the ongoing problems, Shoprite advises customers to choose alternate Sassa deposit methods – either the retailer’s Money Market accounts or major banks like Capitec and Absa.
As Olivier urged:
“We would obviously love them to choose us, but if they don’t choose us, choose another bank at least in order to make sure that you get your money on a monthly basis.”
Rising Shoprite Sales
Additionally, Shoprite has noticed increased spending at their stores by grant beneficiaries using the Money Market account. While Olivier could not disclose exact sales figures due to the small sample size, he expects clearer data within six months.
Up to 3.5 million Shoprite customers already use the Money Market account launched in late 2020, signalling its popularity and utility, especially for grant recipients struggling with Postbank.
Why Switch to Shoprite?
For South Africans relying on social grants, quick and easy access to funds is vital. Postbank’s ongoing technical issues continue to create barriers, leading thousands to migrate to Shoprite Money Market accounts instead.
Key benefits of switching include:
- Dependable monthly deposits unaffected by Postbank’s problems
- Instant SMS notifications upon payment receipt
- Convenient mobile and in-store access without long trips
- Decreased transportation costs
- Potentially increased customer loyalty and spending at Shoprite
As Postbank’s dysfunction persists, Shoprite seems poised to keep attracting social grant recipients to their Money Market accounts. This reliable alternative payment method helps ensure vulnerable South African citizens can securely access their monthly funds.
Hello, I’m Dumisani Joubert, a passionate writer and advocate based in South Africa. With a deep commitment to providing accessible information, my website serves as a reliable resource for all things related to SASSA grants, offering valuable insights and guidance to empower individuals and communities.
