Millions of South Africans could face payment delays after the South African Reserve Bank (SARB) suspended the distribution of new SASSA cards. These cards, issued by Postbank, were intended to replace the ageing gold cards still used by most beneficiaries of the country’s vast social grant system.
The black card programme was designed to modernise how social grants are paid out and improve security across one of Africa’s largest welfare schemes. But with SARB’s sudden intervention, over 28 million recipients now face uncertainty about how and when they’ll receive their monthly funds. The South African Social Security Agency (SASSA) has urged users who haven’t received the black card to consider switching to bank accounts of their choice to prevent disruptions.
“SARB instructed Postbank, with the guidance of SASSA, to ensure that beneficiaries who have not yet migrated to the black cards can use their gold cards and receive their grants,” said Bridget Masango, chair of the Portfolio Committee on Social Development. She added that efforts must be made to ensure a smooth transition for those opting for other banking options.
Modernisation Hits a Wall Amid Old System Woes
SASSA’s shift to black cards formed part of its broader plan to digitise and streamline payments, yet the rollout has stumbled. Despite efforts to move away from physical cash points, many beneficiaries, especially in rural regions, continue to rely on face-to-face services. Trust in digital solutions remains low due to previous failures, fraud, and unreliable infrastructure.
The Reserve Bank has not clarified the exact reason for the halt or provided a timeframe for resuming the card programme. This lack of communication only deepens public concern. Postbank and SARB have also remained silent on the technical issues behind the stoppage.
Still, SASSA has expressed confidence that beneficiaries will continue receiving their grants. “We want to emphasise that beneficiaries have the right to choose any bank of their preference. They can visit their nearest SASSA local office for assistance if needed,” said Paseka Letsatsi, the agency’s spokesperson.
However, the real-world impact is already being felt. Reports from communities show long queues, a lack of clarity from officials, and frustration growing among grant recipients—many of whom depend entirely on this monthly support for survival.
Whether the black card rollout resumes soon or not, trust in the system has been shaken. And for those without access to alternative banking options, the clock is ticking.
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