With the cost of living ever increasing – and further woes expected after Finance Minister Tito Mboweni delivers his Budget speech today – you’ll be pleased to hear of at least one thing that isn’t going up.
In a move that’s certain to put the other four major banks on the back foot, Capitec has announced wholesale price cuts to some of its digital banking fees for 2019, which come into effect on 1 March.
The most notable change is the monthly administration fee on its Global One account dropping from an already low R5,75 to just R5 per month.
Electronic transactions made via online and mobile banking platforms will now cost R1 per transaction, down from R1,60, while the fee for immediate payments will decrease from R10 to R8 – dramatically lower than any other bank.
“Digital banking solutions are playing a significant role in enabling people to manage their money smartly. The convenience of doing payments, buying data or managing your accounts on your phone helps clients save time and money and puts the control in the palm of their hands. We’ve lowered our digital fees, helping our clients to bank better,” says Capitec Executive Head of Marketing and Communications Francois Viviers.
The good news for consumers is that other banks are now likely to follow suit in a bid to stay competitive.
Withdrawing from a Capitec ATM will now cost R6 per R1 000 withdrawn, down 50c from last year’s fee, while withdrawing from another bank drops from R8,75 to R8 per R1 000 withfrawn. Withdrawing cash from a retailer till point drops from R1,60 to R1 per transaction.
The debit order fee also falls from R3,70 to R3,50.
Not keeping up with the digital times will cost you, so if you’re old school like that and prefer to go into the branch to transact, you can expect to pay more this year, with in-branch transfers increasing from R5,30 to R6 per transaction.
The only other fee to increase is for ATM deposits, rising marginally from 95c per R100 deposited to R1.