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Capitec Bank – the fastest growing retail bank – has announced its 2017 pricing. The fees on remote banking (including internet and cellphone) will remain unchanged, while the fees for branch transactions will increase marginally and largely simplified to a set R5.00 per transaction. The changes come into effect on 1 March 2017.
The fees of most branch transactions – currently priced at R4.00, R4.50 or R4.75 – will change to a simplified R5.00, which makes it easy for clients to understand. Cash withdrawal fees at tills will increase from R1.30 to R1.50 and Capitec ATMs will increase from R5.50 to R6.00. Other bank ATM withdrawals will remain constant at R8.50 (only R2.50 more than Capitec ATMs).
Capitec attributes the cost of cash handling as well as the operating cost of their 798 branches as the core reason for the increased fees. “The use of electronic channels like our banking app is much easier for our clients and more efficient for the bank, which is why these transactions are charged at less than 50% of the branch equivalent, and  will remain unchanged for the third year in a row,” says Francois Viviers, Exec Marketing & Communications at Capitec Bank.
The set fee of R5.00 also aims at simplifying cost structures for all customers. “At Capitec Bank you only pay for the transactions you do, as opposed to bundled fees which often include transactions you never use and which makes it harder for clients to understand how their fees are structured.”
Read also: SA Champion Capitec looks abroad – for digital banking breakthroughs (and a deal perhaps?)
“In addition our clients earn at least 5.35% interest on a positive balance from the first cent in their transaction account. Over 550 000 clients end up banking for free with Capitec as their interest earned is more than the fees they pay”, says Viviers. By far the majority – more than 5.5million – of Capitec clients pay less than R50 per month in bank costs.
“We encourage clients to take control of their banking in 2017. Stay aware of price increases, and keep track of your personal accounts. Small behaviour changes like paying with your card instead of using cash, or doing banking on your phone instead of the branch can easily save you money and time to spend on other things that is really important to you,” says Viviers.
Aside from Capitec, will any bank in SA ever get it right? It's 2017 and going into a bank branch is still the worst experience ever
— Lauren Wallett (@laurenwallett) January 18, 2017
The new prices from 1 March include:
- Zero fees when you pay with your card worldwide, and free transfers between your different savings plans
- R5.50 for the monthly administration fee, that includes your transaction account, four additional savings plans and free access through internet banking and  the Capitec banking app.
- R1.50 fixed fee for cash withdrawals at PicknPay, Shoprite, Checkers or Boxer till points
- R3.50 for debit orders
- R6.00 fixed fee per cash withdrawal at a Capitec Bank ATM irrespective of the value of the transaction
- R8.50 fixed fee per cash withdrawal at any other bank’s ATM, also irrespective of the value of the transaction.
For the bank’s full 2017 price list, visit https://www.capitecbank.co.za/global-one/transact/fees.
