The Parliamentary Committee on Social Development has raised serious concerns over the inefficient distribution of new Postbank black cards. Lawmakers fear that not all Sassa gold cards will be replaced by the 20 March 2025 deadline.
The committee expressed disappointment that Postbank failed to meet its weekly reporting deadlines on the rollout’s progress. The intervention plan Postbank claimed to have developed has shown little impact, with the process described as inefficient, inaccessible, and inconvenient.
Grant Beneficiaries Face Long Queues
Despite Postbank’s assurances of improvements, beneficiaries continue to endure long waits, often arriving as early as 1 am. Many are forced to leave empty-handed due to delays and technical issues at distribution sites.
During a recent visit to card-issuing sites in the Western Cape, the Social Development Minister observed significant inefficiencies. At one location, only 13 cards were issued in four hours due to technical challenges.
According to the committee, this demonstrates that Postbank lacks a coherent strategy for replacing the cards. Given current delays, it appears unlikely that the 20 March 2025 deadline will be met.
Postbank Summoned to Parliament
The committee has resolved that Postbank must appear before Parliament on Wednesday, 5 March 2025, to provide an account of the rollout process and explain the ongoing delays.
Millions of Grant Recipients Affected
The distribution of Postbank black cards began in 2024, with officials assuring beneficiaries that no Sassa gold cards would expire until all recipients had received new cards. However, in early 2025, Sassa confirmed that gold cards would become invalid by the end of February, causing widespread concern. In response, an extension was granted, allowing beneficiaries until 20 March 2025 to collect their new Postbank black cards.
This uncertainty has affected thousands of social grant beneficiaries who still rely on gold cards for their monthly payments. Sassa administers over 18 million permanent grants, including the Older Persons pension grant, Disability grant, War Veterans grant, Care Dependency grant, Foster Child grant, Child Support grant, Child Support grant Top-Up, and Grant-in-Aid. A significant number of these recipients have yet to receive a replacement card.
Calls for Urgent Improvement
Last week, the Minister and provincial MECs of Social Development (MINMEC) met to address challenges in the rollout. Concerns were raised about insufficient distribution sites, long queues, inadequate facilities, and logistical failures forcing beneficiaries to travel long distances without a guarantee of receiving assistance.
While Sassa has pledged to support Postbank in accelerating the rollout, Parliament remains unconvinced that the process will be completed by the 20 March deadline. Lawmakers continue to push for urgent action to ensure that all beneficiaries receive their new cards in time.