In a landmark ruling, the Pretoria High Court has found that a South African micro-lender exploited social grant beneficiaries—many of whom are elderly and disabled—through unlawful loan deductions and interest charges.
By Ohene Yaw Ampofo-Anti – Mail & Guardian
The company, Moneyline Financial Services, was ordered to repay millions in illegal deductions made directly from social grants, including disability and old-age pensions. The court found that these transactions bypassed proper oversight and left grant recipients deeper in debt.
This exploitation was made possible through a now-suspended deal with Cash Paymaster Services (CPS), the same entity previously at the centre of the SASSA payment controversy. The ruling affirms that no financial institution is above the law—especially when vulnerable citizens are being harmed.
Advocates for disability rights have welcomed the decision as a critical step toward justice and financial protection for people living on the margins. Many beneficiaries had no idea they were being signed into costly financial agreements they could not afford, with repayment often swallowing their entire monthly grant.
The court’s decision also brings attention to the urgent need for tighter regulation of financial services operating within the social grant system.
“This ruling is not just about refunds—it’s about restoring dignity and sending a clear message: you cannot profit from poverty,” said one legal advocate involved in the case. Disability Connect continues to follow this story as financial watchdogs and human rights organisations call for stricter protections for persons with disabilities and other grant-dependent citizens.
