SASSA recently announced that all remaining SASSA and Postbank cash pay points will be closing between January and March 2024. This closure affects less than 2% of social grant recipients who still collect their grants in cash at post office branches.
SASSA stated that a total of 870 cash pay points across South Africa will be shutting down over the next few months. They have now released a detailed schedule per province for when these closures will take place.
Why Are Cash Pay Points Closing?
The reason behind phasing out cash payouts at post offices is due to the Post Office’s financial struggles. Having lost R6 billion over the past three years, including R2.2 billion in 2022/2023, the Post Office drafted a business rescue plan.
Part of this plan includes cutting costs by closing 420 branches and retrenching 6,000 employees. They also aim to eliminate revenue streams that have failed to generate income – like Over Counter (OTC) payments and Cash Pay Points (CPPs) for SASSA grant collection.
Closure Schedule Per Province
Sassa provided a breakdown per province of when the remaining 870 post office cash pay points will be shutting down:
Eastern Cape – 277 to close
Free State – 26 to close
Western Cape – 0 to close (all closed already)
Gauteng – 6 to close
Northern Cape – 13 to close
North West – 96 to close
Limpopo – 216 to close
Mpumalanga – 53 to close
Kwazulu-Natal – 183 to close
The closures will start this January 2024 and be fully completed by the end of March 2024.
Where Should Grant Beneficiaries Get Cash Instead?
With post office cash payouts ending, Sassa beneficiaries will need to withdraw grant money via other means. Sassa gold card users can now utilize ATMs or retailers that accept debit cards. This includes stores like Pick n Pay, Shoprite, Checkers, Usave and anywhere with point-of-sale machines.
Many shops also allow cash-back withdrawals during debit/credit card purchases. So grant beneficiaries have various alternative options to get cash, rather than at Post Office branches.
SASSA Gold Cards Not Expiring Anymore
Earlier concerns about Sassa cards expiring on December 31st 2023 have also been alleviated. Sassa confirmed the extended validity of current gold cards – so they will not expire while the remaining cash pay points get phased out.
The organization said they will communicate timelines for replacing expired cards later on. So for now, grant payments will continue as normal for those using Sassa gold cards.
The closure of Post Office cash payout points over the next few months will impact a minority of grant beneficiaries. But SASSA has provided ample warning and alternative cash withdrawal options for affected users.
I’m Anele Zulu, a South African social worker dedicated to serving my country’s most vulnerable. With my degree and field expertise, I empower underprivileged communities through compassionate support and tireless advocacy on this website. My goal is simplifying access to services so families can uplift themselves
