MIDDLE-INCOME AND SOPHISTICATED BANKING REQUIREMENTS

THE PROFILE with 25 transactions a month is used for this comparison.

This category contains banks’ flagship accounts – accounts that are marketed to core clients. This is traditionally also the category in which users start regarding rewards programmes as important.

For consumers who do not have a desire to be part of a rewards programme, Capitec remains the cheapest bank. This can largely be attributed to the fact that consumers in this category generally have bigger balances available in their accounts. These larger balances, together with a good interest rate, reduce consumers’ net bank charges considerably. Judged solely on bank charges, Capitec’s bank account with a minimum bank balance of R5 000 is the cheapest.

However, Capitec does not have a rewards programme.

For consumers who want a rewards programme, FNB’s Gold Cheque account offers excellent value, where consumers also get access to FNB’s eBucks rewards programme. Furthermore, this is the only account in this category, apart from Capitec’s, that has been offering reduced bank charges from last year. This reduction in charges was also the reason FNB’s Gold Cheque account has only just surpassed Standard Bank’s Elite Bundle, last year’s cheapest option with benefits.

Nedbank’s Rebate account offers the option of getting a discount on bank charges, provided the consumer maintains a specific minimum balance – R10 000 in this case. In light of the fact that a consumer would rather have the option of investing the R10 000 in an account with better interest rates, the possible interest that could be earned is weighed up against the possible discount on bank charges. The option of maintaining a balance of R10 000 does, in fact, make this account cheaper.

The Absa Gold Bundle has a similar option, where a 50 percent discount can be obtained on bank charges, provided a balance of R30 000 is maintained. As the minimum balance for this account is considerably higher, this specific account turns out to be cheaper if the discount is not used.

Fees for 25 transactions a month:

Capitec (R5 000 balance) R60.21; Capitec (R2 000 balance) R72.08; Capitec (R0 balance) R80; FNB Gold Cheque R111; Standard Bank Elite Bundle R134.65; Nedbank Savvy Plus R135.50; Absa Gold Bundle R136.25; Standard Bank PAYT R228.65; Standard Bank Rebate R247.23.