You might have a stake in R88bn in unclaimed benefits — here’s how to check

Almost every year the financial services industry calls on consumers to come forward so they can be paid their unclaimed benefits.

In September 2022, the Financial Sector Conduct Authority (FSCA) published a discussion paper proposing that unclaimed benefits in the financial services industry worth almost R90-billion be moved to a single fund whose proceeds could be invested in social development projects.

Speaking at the FSCA Annual Industry Conference last week, FSCA commissioner Unathi Kamlana said that after extensive stakeholder engagement, several key challenges were identified.

They include inconsistent definitions, with financial institutions applying varying dormancy periods and classifications for unclaimed assets; poor tracing efforts as a result of inadequate processes for locating asset owners; fragmented management approaches in different sectors; and data gaps, since there is no centralised reporting system except in the case of retirement funds.

The unclaimed benefits include retirement savings, investment payouts, dormant bank accounts and dividends, and the aim was to find a solution that will see these funds paid out to the correct beneficiaries. Daily Maverick has reliably been told that the idea of a central fund has been shot down, largely because of concerns of mismanagement.

In February, the JSE launched a Claim It campaign, urging South Africans to check whether they are potential shareholders who are owed a portion of the R4.5-billion in unclaimed dividends.

The JSE currently has access to 19 issuer share registries and has said it will try to reunite nearly 375,000 former employees, shareholders and beneficiaries of deceased estates with their unclaimed funds.

The most common reasons for unclaimed benefits are: 

• Consumers’ failure to keep financial institutions updated with their contact details and the personal details of their beneficiaries, and inform their beneficiaries of the existence of the assets and the institutions where they are held;


• Inadequate record-keeping by financial institutions and intermediaries in the value chain;


• Inconsistent approaches to the identification and treatment of unclaimed assets, both within market segments and in the financial sector overall;


• Failure by employers to provide retirement funds and administrators with complete details of the members of the fund; and


• Changes in intermediaries and administrators.

How to check if you are owed money

• A valid South African identity number;


• Your current contact information, such as a cellphone and landline number as well as an email address; and


• Proof of address.

This story first appeared in our weekly Daily Maverick 168 newspaper, which is available countrywide for R35.