Banks will allow grant recipients to use any available ATM without additional charges

accreditation
0:00
play article
Subscribers can listen to this article
The Banking Association of SA says the latest reports from its members showed that 1 223 ATMs and 269 bank branches were destroyed during the unrest. Photo: File
The Banking Association of SA says the latest reports from its members showed that 1 223 ATMs and 269 bank branches were destroyed during the unrest. Photo: File

The Banking Association of SA (BASA) says social grant recipients can use ATMs not belonging to their banks without incurring additional charges.

The banking industry is still trying to repair infrastructure destroyed during the unrest.

BASA said grant recipients can use any ATM from 1 August 2021 to 30 September 2021. The organisation which represents banks in SA said the latest reports from its members showed that 1 223 ATMs and 269 bank branches were destroyed during the unrest.

Some of these have been repaired and restored to full service. It added that despite the destruction of cashpoints, there is currently no cash shortage in areas affected by the unrest.

Relief to businesses affected by the unrest

While banks' immediate preoccupation is restoring cash points and reopening closed branches, BASA said banks are exploring several ways to provide relief to their affected customers. These may include targeted payment relief, especially to businesses that were left without stock or operating premises because of looting and arson.

BASA said those businesses cannot be expected to meet their financial commitments as usual, but they won't get debt write-offs either.

"Banks use their customers' savings to extend loans and have a responsibility to ensure that they are not exposed to undue risk of not being repaid. Customers who were in good standing before the unrest should contact their banks as soon as possible to see how they may best be assisted," said BASA.

The organisation said one of the relief measures banks are considering is providing bridging finance to these businesses while the South African Special Risk Insurance Association (Sasria) processes their insurance claims. It said businesses who didn't have Sasria insurance will need the government's support.

BASA said the Covid-19 Loan Guarantee Scheme showed that business owners are usually unwilling to take on additional debt to rebuild during uncertain times. Therefore, it suggested that they need alternative relief measures, such as targeted grants and suspension of rates and taxes.

Get the biggest business stories emailed to you every weekday.
Go to the Fin24 front page
.

We live in a world where facts and fiction get blurred
In times of uncertainty you need journalism you can trust. For only R75 per month, you have access to a world of in-depth analyses, investigative journalism, top opinions and a range of features. Journalism strengthens democracy. Invest in the future today.
Subscribe to News24
Rand - Dollar
14.88
-0.8%
Rand - Pound
20.39
-0.7%
Rand - Euro
17.46
-0.8%
Rand - Aus dollar
10.83
-0.7%
Rand - Yen
0.13
-0.6%
Gold
1,753.88
+0.7%
Silver
22.67
+0.7%
Palladium
2,005.14
+0.9%
Platinum
983.50
-0.9%
Brent Crude
77.25
+1.4%
Top 40
57,643
0.0%
All Share
64,049
0.0%
Resource 10
57,254
0.0%
Industrial 25
82,879
0.0%
Financial 15
14,316
0.0%
All JSE data delayed by at least 15 minutes Iress logo
Company Snapshot
Voting Booth
What potential restrictions on unvaccinated South Africans may make the biggest difference to public health, the economy?
Please select an option Oops! Something went wrong, please try again later.
Results
Limited access to restaurants and bars
11% - 128 votes
Limited access to shopping centres
15% - 171 votes
Limited access to live events, including sport matches and festivals
26% - 302 votes
Workplace vaccine mandates
48% - 562 votes
Vote