03/04/2017 08:36 SAST | Updated 03/04/2017 08:39 SAST

Social Grant Recipients' Data Will Now Be Protected

CPS parent company Net1 says it will no longer invite people to share personal information for marketing purposes.

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A member of the South African Human rights Non Governmental Organisation Black Sash holds a placard outside the South African Constitutional Court.

Net1, the parent company to social grants provider Cash Paymaster Services (CPS) has changed its contract with Sassa to ensure greater protection of the private data of grant recipients.

Business Day reported on Monday that, in a Sens announcement made on Friday, Net1 said it had signed an addendum to its contract, which runs until March 18. The addendum also reflects the terms ordered by the Constitutional Court, the announcement said.

According to the report, Net1 will no longer invite grant recipients to "opt-in" to sharing their personal details for marketing purposes. Net1 had also received an undertaking from its partner, Gindrod Bank, that it will no longer invite beneficiaries to "opt in" to allow the bank to share their data for marketing services.

In March, the Constitutional Court extended CPS' contract to distribute social grants on behalf of Sassa for a year.

Sassa CEO Thokozani Magwaza reportedly welcomed Net1's announcement but said that this was in line with what the Court had ordered, so Net1 had no choice but to comply.