Ubiquity AI and employee benefits consultancy and Ultreia Consulting Services recently teamed up to express our grave concerns with a Democratic Alliance Proposal to amend the Pension Fund Act that could allow retirement fund members to access up to 75% of the value of their retirement fund via secured loans which is a great opportunity for financial services across the retirement value chain and credit lenders to generate new revenue streams and bad news for retirement members.
In our submission to the Speaker of the National Assembly, while we acknowledge that South Africans face untold hardship, this is an extremely bad idea, considering the household debt crisis we are currently in. Ubiquity AI spent two years in Parliament as the Portfolio Committee on Trade and industry deliberated and debarred issues around debt, culminating in the National Credit Amendment Act. Going down this path will exacerbate the country's debt problem and siphon retirement savings.
Both Ubiquity AI and Utlreia are passionate about savings and debt alleviation, our businesses focus on people - especially financially-vulnerable segments of society - and will take an aggressive stance against this Bill should it ever see the light of day in Parliament.
Kaveer Beharee: Founder and CEO - Ubiquity AI
Here's our submission to Parliament