Telangana to End Cash Pension Payments

In a major move to curb irregularities in the Cheyutha pension scheme, the Telangana government has decided to discontinue cash payments and deposit pension amounts directly into beneficiaries’ bank accounts. Around 4.2 million beneficiaries, including senior citizens, widows, persons with disabilities, handloom workers, toddy tappers, laborers, and other eligible groups, currently receive pensions under the scheme. While nearly half of them already receive payments through bank accounts, others continue to receive pensions through cash disbursements or postal channels.

The decision follows complaints regarding irregularities in cash payments and the inconvenience faced by beneficiaries who often wait in long queues at post offices to collect their pensions. Acting on the directions of Chief Minister Revanth Reddy, the State Society for Elimination of Rural Poverty (SERP) has begun preparations to shift all beneficiaries to direct account transfers. New postal bank accounts will be opened for those currently receiving cash payments. Officials expect the ongoing live authentication process to be completed by the end of June, with direct bank transfers likely to begin from August.