In their advertisements South Africa’s biggest banks promise you just about everything – from being together today and tomorrow to smartphones and tablets. Yet SA banks are notorious for their high charges.
For financially strapped clients it’s welcome news that according to an annual report on bank charges published by YOU’s sister publication, Finweek, the three biggest banks – Absa, FNB and Standard Bank – last year reduced their charges for several products and services.
But for customers who still prefer to write cheques rather than doing their banking online, the news is less good.
Chequebooks and cash withdrawals at tellers are regarded as “prehistoric” banking delivery channels. Banks such as FNB have cut their costs by using technology platforms and have passed this saving on to customers, rewarding them if they use less costly channels such as electronic transactions.
When it comes to bank charges it’s important not to try to compare apples with pears, such as comparing charges for individual transactions with the cost of a package. And comparing the various packages offered by banks can make your head spin.
For this reason the Finweek researchers created a fictitious family to see how they would benefit from a package option offered by each of SA’s Big Four banks.
To find out more about which bank saves you the most read Bruce Whitfield’s article in YOU 7 February 2013.