No super, payments will be cut off

Press, 9 October 1982, Page 27

No super, payments will be cut off

National superannuitants who have not authorised direct crediting of their payments have been assured by the Minister of Social Welfare. Mr Young, that the payments will not be cut off. Mr Young made the statement after the director of the regional superannuation office in Auckland. Mr Lloyd Watson, said that those who had not arranged for automatic payment of the benefit into a bank or building society would not receive the payment due on November 16.

Mr Watson said that legislation was in train to enable payments to be stopped from November 2 in such cases.

The department . had switched to direct crediting to avoid thefts and losses and to save an estimated $lO million a year.

Of New' Zealand's 106,000 superannuitants who had before received their superannuation cheques by passbook through their local post offices, only 638 had failed to sign the necessary authorisations for direct crediting, he said.

The assistant director of benefits in* Christchurch. Mr C. Money, said that those who refused to authorise automatic payments would continue to be paid by local payment orders. “We cannot compel people to change if they resist strongly," he said. About 44 national superannuitants in Christchurch received their benefits through cash payments. At last count 170 had not authorised direct crediting, but of that number “quite a few" were suspended because of people going overseas.

Mr Money said that he was “tremendously pleased" with the response of superannuitants in Christchurch. The Post Office ’ and banks had helped the Social Welfare Department considerably in its effort to have the payments direct-credited.