SASSA Grant Deductions: How to Identify and Report Illegal Charges

For many South Africans, SASSA grants are the only source of household income. But thousands of beneficiaries each year find that their grants are smaller than expected because of unauthorised deductions. These deductions — for airtime, loans, funeral policies, or “service fees” — are often illegal.

This article explains how to spot illegal deductions from your grant, what the law says about them, and the steps you can take to report and stop them.

See Also: SASSA Status Check

What Are Illegal SASSA Grant Deductions?

Illegal deductions occur when money is taken from a SASSA grant without the beneficiary’s informed consent. While certain lawful deductions exist (such as repayments on authorised loans), many are imposed by companies exploiting vulnerable beneficiaries.

The most common types include:

• Airtime or prepaid service deductions linked to beneficiaries’ accounts.
• Loan repayments deducted without proper agreements.
• Funeral policies where beneficiaries were signed up without clear consent.
• Service charges for “facilitating” payments at retailers or ATMs.

SASSA has repeatedly stated that beneficiaries should receive their full grant, without deductions, unless authorised by law.

Install: SASSA App

Why Do SASSA Deductions Happen?

Several factors make beneficiaries vulnerable:

• Lack of financial literacy makes it easier for companies to sell unwanted products.
• Some beneficiaries unknowingly sign contracts when applying for financial services.
• In rural areas, third-party “agents” claim they can help people access grants but instead deduct hidden fees.
• Weak enforcement allows companies to continue unlawful practices.

How to Check if You Have SASSA Deductions

1. Check your payment slip: When withdrawing at ATMs or retailers, review the receipt for any unexplained charges.
2. Review your bank statement: Look for recurring deductions from the same company.
3. Monitor grant balance: If the amount is consistently less than the official grant value, investigate further.
4. Ask for help: If you don’t understand a charge, speak to SASSA staff or a trusted advisor.

What the Law Says

• The Social Assistance Act prohibits unauthorised deductions from social grants.
• SASSA and Postbank are required to ensure beneficiaries receive their full entitlement.
• Only court-ordered or legislated deductions (such as child maintenance) may apply.

Beneficiaries have the right to dispute any deduction they believe is unlawful.

Check Out (For SASSA Beneficeries): SASSA Payment Dates

How to Report Illegal Deductions

If you discover unexplained deductions:

1. Call the SASSA Helpline – 0800 60 10 11. Provide your ID and payment details.
2. Visit a SASSA Office – Bring your payment slips or bank statements as evidence.
3. Report to the National Credit Regulator (NCR) – If the deduction relates to loans or credit agreements.
4. Escalate to the Black Sash Helpline – This civil society organisation assists beneficiaries with grant rights.
5. Legal Action – In severe cases, beneficiaries can approach the courts.

Protecting Yourself From Future Deductions

• Never sign documents you don’t fully understand.
• Avoid sharing your SASSA card or PIN with anyone.
• Be cautious of agents offering “advance” payments.
• Regularly check your grant balance and statements.

FAQs

Are funeral policy deductions from SASSA grants legal?

Only if the beneficiary has given clear, written consent and the deduction is within legal limits. Otherwise, they are illegal.

Can I recover money lost through illegal deductions?

Yes. Once confirmed, SASSA can reimburse the deducted amount, though the process may take time.

Who investigates complaints about illegal deductions?

Complaints are handled by SASSA and may also be referred to the NCR, the Financial Sector Conduct Authority (FSCA), or law enforcement.

What should I do if SASSA ignores my complaint?

Escalate to organisations like Black Sash or seek assistance from legal aid services. Keeping written proof of your complaint strengthens your case.

Final Thoughts

Illegal deductions rob vulnerable families of the little they have. While SASSA has made progress in clamping down on these practices, they persist in many communities. Beneficiaries must stay alert, monitor their payments, and report suspicious deductions quickly.

Your grant belongs to you. Don’t let anyone take a cent without your consent.