Super fund outage locks over a million Aussies out of accounts during system upgrade
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Suppose you're among the countless Australians with funds managed by a primary superannuation provider.
In that case, you may have recently faced an unexpected and frustrating situation—suddenly unable to access your own savings.
For many, it’s been a troubling surprise, with some only realising something was wrong when they attempted to log in or move their money, only to be met with restrictions.
So, what’s going on, and what does it mean for you? Let’s break down the situation, what led to it, and what you can do if you’re affected.
HESTA, one of Australia’s largest super funds (especially popular among health and community services workers), is currently undergoing a major technology upgrade.
As part of this, they’re switching administration providers—a move they say will ultimately deliver better service and more personalised experiences for members.
But in the short term, it’s caused a significant headache: a planned seven-week 'limited services period' that began in mid-April and is set to last until June 2.
During this time, members have been unable to access their accounts online, withdraw, or update their details.
While HESTA says 'urgent and critical payments' are still being processed, for many retirees and soon-to-be retirees, the timing couldn’t be worse.
Despite HESTA announcing the outage back in February, many members say they didn’t find out until it was too late.
Some only learned of the freeze when they tried to access their accounts in April after the cut-off date for making changes or withdrawals had already passed.
Take Jan Massey, a Perth retiree, for example. She was in the process of buying a new home and needed to access her super to pay the deposit.
When she logged in to her account, she discovered she was locked out and had missed the window to withdraw her funds.
In the end, she had to borrow money from friends to secure her new home—a situation she described as both embarrassing and stressful.
'I do feel a sense of panic…I’m kind of not sleeping very well and thinking, how’s this all going to end?' Jan said.
Another member, Martina Neville from Melbourne, tried to get ahead of the shutdown by making two withdrawal requests in March.
Only one was processed before the outage, leaving her $9,000 short for upcoming bills.
Despite repeated calls to HESTA, she was told she’d have to wait until after the outage for the rest of her money.
HESTA maintains that it communicated the planned outage to members via email and mail, but many say the notice either arrived late or not.
Sometimes, letters advising of the shutdown period arrived after the cut-off date for making changes.
This has led to complaints to the Australian Prudential Regulation Authority (APRA), with some members arguing that HESTA failed in its duty of care.
Xavier O’Halloran, director of Super Consumers Australia, says it’s unsurprising that many people were caught off guard.
'Super funds don’t always have up-to-date contacts for people and they don’t do enough at the moment to make sure they keep those details up to date,' he said.
While it’s not uncommon for super funds to have short periods of limited service during major upgrades, a seven-week outage is highly unusual.
Most similar transitions are completed in less than a month.
O’Halloran warns that outsourcing administration services can leave funds vulnerable to these kinds of risks, and ultimately, it’s the members who pay the price in terms of inconvenience and stress.
HESTA says the extended outage is necessary to ensure the safe and secure transfer of more than a million members’ accounts and that the new system will deliver better outcomes in the long run.
If you’re a HESTA member and you need urgent access to your super, HESTA says it is still processing 'urgent and critical payments' during the outage.
If you find yourself in financial hardship, it’s worth contacting their customer service team directly to explain your situation and see if an exception can be made.
For those who missed the cut-off and are now waiting until June, it’s a good reminder to always keep your contact details up to date with your super fund and to check your email and mail regularly for important updates.
This situation is a wake-up call for anyone with superannuation—regardless of which fund you’re with. Here are a few tips to help you avoid being caught out in the future:
Regularly logging into your super account, keeping your contact details current, planning for large withdrawals, and reading all messages—no matter how unimportant they may seem—can help you stay informed and avoid unexpected issues with your fund.
HESTA says members can access their accounts as normal from 2 June.
In the meantime, their contact centre and member engagement teams are available to support members with queries and urgent needs.
While this transition period has been challenging for many, HESTA insists that the new technology platform will ultimately improve members' experiences in the years ahead.
And remember, if you’re ever in doubt about your super or need help, don’t hesitate to reach out to your fund or seek independent financial advice.
Your retirement savings are too important to leave to chance!
Have you experienced delays or difficulties accessing your super? Did you receive timely communication from HESTA, or were you surprised? Share your story in the comments below.
In that case, you may have recently faced an unexpected and frustrating situation—suddenly unable to access your own savings.
For many, it’s been a troubling surprise, with some only realising something was wrong when they attempted to log in or move their money, only to be met with restrictions.
So, what’s going on, and what does it mean for you? Let’s break down the situation, what led to it, and what you can do if you’re affected.
HESTA, one of Australia’s largest super funds (especially popular among health and community services workers), is currently undergoing a major technology upgrade.
As part of this, they’re switching administration providers—a move they say will ultimately deliver better service and more personalised experiences for members.
Super account issues can be avoided when contact details are updated, accounts are checked, and messages are read regularly. Credit: Facebook
But in the short term, it’s caused a significant headache: a planned seven-week 'limited services period' that began in mid-April and is set to last until June 2.
During this time, members have been unable to access their accounts online, withdraw, or update their details.
While HESTA says 'urgent and critical payments' are still being processed, for many retirees and soon-to-be retirees, the timing couldn’t be worse.
Despite HESTA announcing the outage back in February, many members say they didn’t find out until it was too late.
Some only learned of the freeze when they tried to access their accounts in April after the cut-off date for making changes or withdrawals had already passed.
Take Jan Massey, a Perth retiree, for example. She was in the process of buying a new home and needed to access her super to pay the deposit.
When she logged in to her account, she discovered she was locked out and had missed the window to withdraw her funds.
In the end, she had to borrow money from friends to secure her new home—a situation she described as both embarrassing and stressful.
'I do feel a sense of panic…I’m kind of not sleeping very well and thinking, how’s this all going to end?' Jan said.
Another member, Martina Neville from Melbourne, tried to get ahead of the shutdown by making two withdrawal requests in March.
Only one was processed before the outage, leaving her $9,000 short for upcoming bills.
Despite repeated calls to HESTA, she was told she’d have to wait until after the outage for the rest of her money.
HESTA maintains that it communicated the planned outage to members via email and mail, but many say the notice either arrived late or not.
Sometimes, letters advising of the shutdown period arrived after the cut-off date for making changes.
This has led to complaints to the Australian Prudential Regulation Authority (APRA), with some members arguing that HESTA failed in its duty of care.
'Super funds don’t always have up-to-date contacts for people and they don’t do enough at the moment to make sure they keep those details up to date,' he said.
While it’s not uncommon for super funds to have short periods of limited service during major upgrades, a seven-week outage is highly unusual.
Most similar transitions are completed in less than a month.
O’Halloran warns that outsourcing administration services can leave funds vulnerable to these kinds of risks, and ultimately, it’s the members who pay the price in terms of inconvenience and stress.
HESTA says the extended outage is necessary to ensure the safe and secure transfer of more than a million members’ accounts and that the new system will deliver better outcomes in the long run.
If you’re a HESTA member and you need urgent access to your super, HESTA says it is still processing 'urgent and critical payments' during the outage.
If you find yourself in financial hardship, it’s worth contacting their customer service team directly to explain your situation and see if an exception can be made.
For those who missed the cut-off and are now waiting until June, it’s a good reminder to always keep your contact details up to date with your super fund and to check your email and mail regularly for important updates.
This situation is a wake-up call for anyone with superannuation—regardless of which fund you’re with. Here are a few tips to help you avoid being caught out in the future:
Regularly logging into your super account, keeping your contact details current, planning for large withdrawals, and reading all messages—no matter how unimportant they may seem—can help you stay informed and avoid unexpected issues with your fund.
HESTA says members can access their accounts as normal from 2 June.
While this transition period has been challenging for many, HESTA insists that the new technology platform will ultimately improve members' experiences in the years ahead.
And remember, if you’re ever in doubt about your super or need help, don’t hesitate to reach out to your fund or seek independent financial advice.
Your retirement savings are too important to leave to chance!
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