Easy access to one’s state pension payments is key in retirement, but a process is changing. From November 2022 onwards, pensioners will no longer
Easy access to one’s state pension payments is key in retirement, but a process is changing. From November 2022 onwards, pensioners will no longer be able to receive payments into Post Office card accounts, as these are to be permanently closed. While the Post Office card accounts scheme was previously set to end in November 2021, there has been a momentous change.
Disruption due to the pandemic means the deadline has been extended for an additional 12 months.
This, the Government states, is to ensure everyone has ample time to put in place alternative arrangements.
But for those who may not be aware of the change, information is being released to help.
The DWP is now issuing letters to Post Office card account users to inform them their accounts will be coming to an end.
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Pensioners can choose how they receive their payments if they opt for the new Payment Exception Service.
These methods include the delivery of a digital voucher via text, email or a unique barcode displayed on a mobile phone.
Any customer migrated to the new service will also be provided with a reusable ‘mag stripe’ plastic card.
This can then be used to receive payments in cash from 11,500 Post Office branches, and more than 28,000 PayPoint retail outlets.
Minister for Pensions, Guy Opperman, said: “Whilst the vast majority of pensions and benefits are paid directly into peoples’ bank accounts, some people prefer to collect their payments over the counter at their local Post Office.
“This extra time means we can support our most vulnerable customers to move to the payment method that will suit them best.
“Even if that means making sure they can still get cash via the Post Office using a card from the new Payment Exception Service.”