The sheer number of savings pot withdrawal applications by GEPF members has caused some technical glitches, but these are being dealt with and the speed of payouts should start improving soon.
As at Friday 4 October, the GEPF had received 252 592 applications for savings pot withdrawals, but only 1 700 payments have been made. In other words, less than one percent of applications have so far been paid out.
Meiring Coetzee, Chief Information Technology Officer at the Government Pensions Administration Agency (GPAA) says the main reason behind the backlog is tax directives which need to be sent to SARS.
While SARS has the capacity to process applications, the GPAA system does not have the capacity to send through bulk tax directive applications. However, according to Coetzee, this is being addressed as a matter of urgency.
Typically, the GPAA processes 10 000 tax directives per month, but the system is now having to process 200 000 in bulk.
Issues with verification of bank details
Another possible cause of non-payment of withdrawal applications is verification of banking details.
Payments will only be made to the same account that is used to pay in the member’s salary. Due to security concerns, you cannot update your banking details on the app – this can only be done through your employer or HR.
Coetzee says that even though savings pot withdrawals are paid into the account used for the employee’s salary payment, before the payout can take place, each bank account must be verified. In 104 cases (out of 221 655 bank verifications), this verification process has failed. This could be due to an employee using a spouse’s account, for example.
Problems using self-service app
Although there have been complaints about issues accessing the self-service app and issues with receiving one-time pins (OTPs), Coetzee says that the number of applications received (which is equivalent to around 20% of the active member base) suggests most members who want to withdraw have in fact managed to use the app successfully.
The issues with the self-service app affect members with older phones where the software may be outdated. The app only works on newer smartphones. The web-based portal only went live earlier this week and so far, the GPAA has received 2 390 web-based applications.
Another issue is that member details may have changed. The member’s cellphone number, ID and email address must match those on record with the GEPF in order for the member to access the app.
Due to security risks, these details cannot be updated via the app and must be done by sending an email to selfservice@gpaa.co.za. However, members who have sent emails say they are not receiving a response.
Savings pot showing zero balance
There have been complaints by some members that their savings pot is showing a zero balance. There have been data errors which have affected around 40 000 members – these are being corrected and the administration will engage with the employer and members to correct member data.
Issues with OTPs
There have been complaints that when members enter the OTP that they receive, they get a message “expired or already used”. Coetzee acknowledges that there were problems with OTPs as there was a capacity issue, however that has now been resolved.
While most of the technical issues are being dealt with, members will have to be patient while the administration resolves the bulk submission of SARS tax directives.
Click here for more articles on the two-pot retirement system
Many resignation claims are stuck at payments – some for months.
There are some call centre agents who have shared that claims made after September are on hold. Others say it’s an issue with calculations.
Some transparency is the least they can offer while members wait for their payouts.
Good afternoon.
I am writing this email because I have become desperate for my pension payout. My husband and I immigrated to the Netherlands. After being assured that my documentation was in order while still in South Africa, I left the country in good faith.
I understand that the problem document is Z894, which is the banking details regarding where the money should be paid. Originally I wanted the money to be paid into my husband’s account. This was rejected as the account must be in my name. I received this information while already in the Netherlands. When I contacted my bank, ABSA, they refused to complete the Z894 as they wanted me to come into the bank in person. For obvious reasons, I am unable to do so.
I would like some clarification regarding why the money could not be paid into my husband’s account. I would also like to ask how to get around this step. Would it help if I opened a bank account in the Netherlands? Would it help if I hired an attorney to go to ABSA on my behalf and get the proper documentation?
I sent an email on the 19th of January regarding form Z894, but have not yet received a response.
Your help is desperately needed and appreciated.
Kind regards,
Marsha Peacock (ID:8808040134080)
Hi Marsha, I did not see an email from you but I will send this to GEPF to see what your options are
hello maya
i submitted my claim on the 18/10 for two pot till to date i havent received any response, the only email i received from gpaa was that my directive was not confirmed… what the hell does that mean n how long must i wait for my payment
Maybe check with SARS if there was a problem with your tax directive
Hi Maya I had made claim of two pot on the 14th of September 2024 even now I haven’t received any payment they I telling Bitvest/Old Mutual had problems with verification why please help
It’s almost 2 weeks later and the problems have got worst. Impossible to contact the GEPF. Did a follow-up with their mobile office with regard to the status of my claim. Informed that a tax directive was requested on the 26/09. When checking with SARS telephonically and personally no request was received. Can you advise on how to resolve.
Keep up the good work Maya.
HI Maya
Have you heard anything about two pot claims being flagged that had divorce claims. My divorce was finalized in 2017. The GEPF consultant told me my file has been flagged and I would need to wait for GEPF to sort out. But what I dont understand is GEPF received my completed tax directive back on 10/10. Any insight would be appreciated thank you
I will ask GEPF.
Maya may you please get clarity grom GEPF in claims made from 1-10 for two pot because they are not payingbus and it’s now frustrating because when calling they tell us about payment date.
Without Maya on Money we wouldn’t have received any type of feedback regarding our claims.
Keep up the good work!