Complaint about a refund and outstanding cash out for a Retirement Annuity which was less than R7000

Dear Sir/Madam

03 January 2018: I visited the Old Mutual Gandhi Square branch, Telephone: ********** , to terminate and cash out my Retirement Annuity Policy. From the documents I had with me, the only thing missing was a letter from SARS as proof that I am paying tax. The receptionist (Old Mutual) told me a payslip would not suffice even though the Tax Deduction was reflecting on it. I collected the letter from SARS and submitted as instructed. After completing everything on the system the Old Mutual Consultant (I can identify the face) told me that after the Tax Deduction from the Cash Out, I would only receive around R2, 800. He said their turn-around was fifteen days.

08 January 2018: I received an email below stating that I would NOT receive my money because “This policy does not qualify for a withdrawal at this stage because the South African Retirement Annuity Fund (SARAF) interest exceeds R7 000 00” (for more details please refer to the email below). I do not understand why Old Mutual would decide to combine my Retirement Annuity policies without my consent or prior warning. If that was the case, why would I be told at the branch on 03 January 2018 that I was going to receive my Cash Out? Why would Old Mutual combine my two Retirement Annuity policies which even have two different Policy Numbers? Since there is a claim that they are now combined, why on the Old Mutual system at Ghandi Square it was still showing as separate policies, with separate funds, the one is paid out and the other one was still showing “ACTIVE”.

17 January 2018: Let me indicate that from 17 January 2018 to date, I have done everything in my power to make follow-ups (walk-ins and telephonic) and trying to get this matter resolved to no avail. I complained about the deduction that went off on 15 January 2018 payslip. I was assisted by over four consultants including the manager and they assured me that I would get a refund. I also raised my concern about the Cash Out that was also overdue and I showed them the email received from Old Mutual on 08 January 2018. Some of them also told me it did not make sense to them as well and that they would escalate to their seniors following their internal protocols.

23 January 2018: After making a telephonic follow-up, Mr. Gugu (the manager) requested me to submit the payslip at the branch, which indicated the deduction, so that they could request a refund for me for the deduction made on 15 January 2018.

24 January 2018: I dropped off the 15 January 2018 payslip at the branch and were received by the receptionist (Ms. Dikeledi). At past 09H00, I received a call from Mr. Gugu (the manager) requesting that I should come to the branch again; saying they required my signatures in order to process the refund.

25 January 2018: I went to the branch again and signed as per the request. I was assisted by Ms. Gugu, who also promised that she will escalate. What did not make sense to Ms. Gugu was that even though the responsible consultant who assisted me on 03 January 2018 to terminate my retirement annuity has indicated that it was indeed terminated, on the system it was still reflecting as ACTIVE. This was also picked up by two other consultants at the branch who assisted me prior Ms. Gugu (I forgot their names but can be able to identify their faces).

02 February 2018: I went to the to the Ghandi Square branch and was assisted by Ms. Gugu. Our HR Department had requested Proof of Termination to stop the deduction from the employer’s side since I had terminated the policy on 03 January 2018. The attached letter was printed for me by Ms. Gugu and she indicated that it should suffice since it also indicated the date of termination/ stopping payments. She again showed me on the screen that my complaint had been escalated on 26 January 2018 but on that day (02 February 2018), it still showed that it was still not attended to. After Ms. Gugu discussed briefly with Mr. Gugu (the manager) she indicated to me that she was requested to escalate the complaints again and they would call me to update me.

06 February 2018: I decided to make a telephonic follow-up since the promised phone call was not coming through. Ms. Gugu and Mr. Gugu (the manager) told me that, the response from whomever they had escalated to was that I cannot receive my CASH OUT since the two policies were combined. With regard to the REFUND, Mr. Gugu (the manager) said I should have rep**** to the below email and explain to them that I did not wish to continue paying the policy. To my surprise, they are all acting as if they were not aware that I wanted to stop paying (terminate) even though I told them starting from 03 January to date.

I am now wondering what they had escalated if they seemed to be so confused. There is lot of contradiction in their stories of which I am not interested in at this stage. I requested Mr. Gugu (the manager) to give me his senior’s details so as to escalate the matter myself and he refused saying it was not allowed. He kept on referring me back to the sender of the email below (who is refusing to pay my money out).

06 February 2018: After retrieving my payslip, I realised that there is also an Old Mutual deduction again of R1, 100 for the very same Retirement Annuity I had terminated on 03 January 2018.

My request is as follows:

§ Refund for Deduction made on 15 January 2018 (R1, 100): Reason-the policy was terminated on 03 January 2018 at Old Mutual Ghandi Square branch.

§ Refund for Deduction made on 15 February 2018 (R1, 100): Reason-the policy was terminated on 03 January 2018 at Old Mutual Ghandi Square branch.

§ Cash out/money for the second Annuity Retirement policy which is less than R7, 000.00. The reason is that I had contributed for this policy only in October, November and December and amount of R1, 100 in those months, which means the total was R3, 300. Even if there were interest added, the policy could have not exceeded R7, 000.00. The consultant had also assured me that after deduction the system showed that I would be paid around R2, 800.00.

I sent them an inbox on facebook and posted on their page but no one has contacted me. I was even thinking of the Ombudsman and someone recommended Hello Peter.

I urgently need my money from Old Mutual.

Kind regards