Bank Zero update fee changes for 2023
JOHANNESBURG – Digital banking group Bank Zero has published its updated fee schedules for 2023, with no price hikes and even some reductions.
The zero-fee bank has been operating in the market for over a year after publicly launching in August 2021.
Continuing the trend set by the bank at launch, all first-party transactions carry zero cost, with the only fees charged being for third-party transactions which are passed onto customers. For 2023, all zero-fee transactions remain free, the bank said, with the only price changes actually being reductions.
Card personalisation and delivery for pick up at Clicks has been reduced to R69, from R79 in 2022, while the standard personalisation and delivery fee has been cut from R39 and R179 in main centres and rural areas to R119 and R159.
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All other fees remain the same, and the fees apply across the Board for individual and business customers.
One of the more significant changes coming to the bank is the option to finally deposit cash into accounts. This has been a much-requested feature among customers, it said, given that until now there has not been any way to put money into an account aside from EFT payments and transfers from other banks.
Customers can now deposit cash into their Bank Zero account at any Pick n Pay or Shoprite till-point.
The caveat is that the fee is set by the retailer, and customers need to confirm this with the cashier before making the deposit, Bank Zero said. These deposits are immediately available in the account once the card and PIN are confirmed.
Carries
According to Shoprite, the standard fee for deposits at till points is R19.95 for up to R5 000. Pick n Pay leaves this fee up to banks, but according to other retail banks it carries the same charge.
Bank Zero said that its fees and features are available for individuals and businesses, with the group putting a large focus on the latter in the coming period.
“The current customer base of Bank Zero consists of a large percentage of first adopters, which reflects in our higher-than-expected account activity. Whereas the early adopters were expected, the large percentage of business banking customers joining Bank Zero was somewhat surprising,” said Bank Zero Chairman Michael Jordaan.
“It clearly talks to the current gap in the market for business banking – both in terms of fees and solutions.”
Contrary
Bank Zero said that its account is set apart from competing business accounts because it’s open to Pty Ltds, contrary to other zero-fee business accounts, which are typically only available to sole proprietors.
As a sneak peek into what’s next, Bank Zero said it will be offering businesses their own internal relationship banking functionality: A business will be able to load against any check account up to two people that may do transactions on that account – and then let the authorisation chain ensure ultimate security.
“Individuals will also be able to do this on their personal accounts, which will be handy when sharing a household account or a club savings account,” it said.