CAPE TOWN - Following a recent public interaction between research company, Viceroy Research and South Africa’s second largest retail bank as of 2017,Capitec, we take a look at the bank’s revised fees for the year 2018, which is set to come into effect as early as March.
The group which claimed 9.2 million clients in 2017, updates their banking fees annually on March 1.
It is also renowned for its unique one type of banking card, the Global one. This account is multi functional while users have the option of creating their unique terms as it allows users to save as well as invest.
“The majority of Capitec clients - over 5 million - pay under R50 in bank costs each month, and many clients earn more in interest than the fees they pay,” it said.
Capitec has been in the firing line recently for being accused of being a "loan shark".
Further claims included that Capitec allegedly had "concealed problems", largely resembled those seen at African Bank prior to its collapse in 2014.
Ray Russon, a general secretary at the National Black Consumer Council, said if any wrong has been committed this must be corrected with immediate effect, but they believe Capitec still remains relevant, because it provides "a required service to our people" such as an app with data.
“We appreciate the fact that Capitec has been trying to service a market that has largely been neglected by the other banks, that is the poor and marginalised.
"We are arranging to meet Capitec so we can understand the nature of the complaints and to ensure our people continue to receive fair banking facilities,” Russon said.
He added Viceroy Research seemed biased against South African companies.
The bank however remains solvent, well capitalised, fully functional and still remains on the list as one of SA's big five banks.
Remains the same
While the general fee structure sees slight increases, Capitec says that access to remote banking which includes online and the app, remains free. Also, there will be zero-rated data for the app.
The statements and transfers made between one’s own account on a mobile device or via internet banking, remains free. However, payments via these channels will see an increase, for the first time in four years. The increase will be from R1.50 to R1.60 per transaction.
Changes to the fee structure
Fees for payments made in branch increased to R5.30 per transaction. Meanwhile, the monthly admin fee increased to R5.75, by 25 cents.
Debit orders will see a 20 cents increase from R3.50 to R3.70.
The cash withdrawal fee at tills is R1.60 while cash withdrawals from a Capitec ATM will see users paying a steep R6.50.
If a Capitec customer chooses to withdraw cash at other bank’s ATM, they will pay R8.75 which is a R2.25 increase compared to Capitec banded Bank ATMs.
“This means clients can use any of the over 30,000 ATMs across the country without fear of excessive fees or penalties. All cash withdrawal fees are flat fees regardless of the amount of money Capitec clients withdraw,” the bank said.
- BUSINESS REPORT ONLINE