• Latest
  • Trending
Barclays set to sell Africa business, ‘Sale of Absa imminent’

Absa hikes fees

December 4, 2017
Pfizer vaccine only slightly less effective against key South African mutations – Study

Undocumented migrants and vaccination in South Africa question

February 26, 2021
Red Cross postpones aid convoys after Aleppo attack

Syrian migrant sets sights on seat in German parliament

February 26, 2021
R15.5BN PAID BACK TO SOUTH AFRICANS IN TAX RETURNS

R3 billion investment into SARS is warning to taxpayers in South Africa

February 26, 2021

Libyan Prime Minister-designate proposes unity government plan

February 26, 2021
Zimbabwe has begun the process of acquiring COVID-19 vaccines: Vice President

Israel freezes programme to send vaccines abroad, defence minister says

February 26, 2021
Mkhize determined to get to bottom of VBS ‘corruption’

AstraZeneca deal was sealed before new variant in SA: Mkhize

February 10, 2021
Zuma no-confidence motion set for Thursday – South Africa parliament

COVID-19 direct response should form the basis of Ramaphosa’s SONA: ANC

February 10, 2021
J&J applies for COVID-19 vaccine emergency authorisation from SA

J&J applies for COVID-19 vaccine emergency authorisation from SA

February 10, 2021
All systems go for 6th Parliament SONA

Job opportunities will come, Ramaphosa tells labour federations

February 2, 2021
AstraZeneca vaccine to undergo quality assurance checks before rollout: Mkhize

AstraZeneca vaccine to undergo quality assurance checks before rollout: Mkhize

February 1, 2021
Portfolio Committee on Health notes poor record keeping at Tembisa Hospital

Portfolio Committee on Health notes poor record keeping at Tembisa Hospital

February 1, 2021
Algeria says it has discussed with Russia about producing Moscow’s Sputnik V vaccine

Algeria says it has discussed with Russia about producing Moscow’s Sputnik V vaccine

February 1, 2021
  • Latest
    • Community
    • Africa
    • International
  • Sport
  • Business
    • Finance
    • Technology
    • Motoring
  • People
    • Opinions
    • Health
  • Politics
  • Media
    • Entertaiment
    • Social Media
    • Media
  • Public Statement
Sunday, March 7, 2021
  • Login
TP
  • Latest
    • Community
    • Africa
    • International
  • Sport
  • Business
    • Finance
    • Technology
    • Motoring
  • People
    • Opinions
    • Health
  • Politics
  • Media
    • Entertaiment
    • Social Media
    • Media
  • Public Statement
No Result
View All Result
  • Latest
    • Community
    • Africa
    • International
  • Sport
  • Business
    • Finance
    • Technology
    • Motoring
  • People
    • Opinions
    • Health
  • Politics
  • Media
    • Entertaiment
    • Social Media
    • Media
  • Public Statement
No Result
View All Result
TownPress
No Result
View All Result
Home Business

Absa hikes fees

December 4, 2017
in Business
0
Barclays set to sell Africa business, ‘Sale of Absa imminent’
161
SHARES
798
VIEWS
Share on FacebookShare on Twitter

After keeping bundled pricing unchanged last year as a retail turnaround had only begun to take shape, Absa has hiked the bundled prices of its three mid-market accounts.

Premium Banking (previously called the Platinum Value Bundle) now costs R169 a month, a 6.3% increase on the R159 in 2017 and 2016. The Gold Value Bundle increases by 7.1% to R105 a month from R98 previously, while the Flexi Value Bundle costs 7.3% more at R59 (from R55). Fee changes, which come into effect on January 1 2018, were announced on Friday anddetailed pricing is available here.

Rebates for keeping cash balances still apply (no longer the case with most other banks). On the Gold Value Bundle, a balance of more than R30 000 means a discount on 50% of your monthly fee (i.e. R52.50). On Premium, the threshold is more than R50 000 (also 50%, i.e. R84.50).

The bundled electronic transactions, debit orders and cash withdrawals (as well as deposits, where applicable) remain unchanged. Electronic transactions and fund transfers (including internal debit orders) are unlimited on all three bundles, with external debit orders/account payments limited to 11 per month on the Flexi Value Bundle and unlimited on the Gold Value Bundle and Premium Banking. Free cash withdrawals at Absa ATMs are limited to three, five and seven per month, respectively, and Gold Value Bundle and Premium Banking customers get five free cash deposits at Absa ATMs a month.

The trend of price increases on ‘out-of-bundle’ transactions – prevalent at all four full-service banking groups – continues, with Absa hiking these practically across the board. Airtime purchases on any of Absa’s channels regardless of whether you hold a bundled account or not now costs R1.50 (from R1.15), a 30% increase. Card replacement fees are now R140, from R125 in 2017 (and R120 in 2016), 12% higher.

The only real relief is on the penalty charged for a declined debit order due to insufficient funds. These used to be charged at R50 for the first three per year with the fee jumping to R150 thereafter. Now, they are flat-rated at R50 each on the Gold Value Bundle and Premium Banking accounts, while on the lower-end Flexi Account, these have been dropped to just R8.50. A declined transaction at any ATM or point-of-sale now attracts a R6 charge on all mid-market accounts, from R5.50 in 2017.

Gold Value BundlePremium Banking (nee Platinum Value Bundle)
2018201720182017
Monthly feeR105R98R169R159
Electronic debits, balance enquiries, POS, cash at tillUnlimitedUnlimitedUnlimitedUnlimited
Cash withdrawal – Absa, Barclays ATM5577
Cash deposit – Absa ATM5555
Debit orders (external), account paymentsUnlimitedUnlimitedUnlimitedUnlimited
Funds transfer, internal debit ordersUnlimitedUnlimitedUnlimitedUnlimited
Internet, app, cellphone bankingFreeFreeFreeFree

 

Pay-as-you-transact pricing (and for transactions over and above those included in bundled option)20182017
Monthly admin fee (for those not on bundle)R65 Premium / R45 GoldR42 (legacy)
Cash withdrawal – Absa ATMR4.50 + R1.40 per R100R3.95 + R1.35 per R100
Cash withdrawal – POSR4.50R3.95
Cash withdrawal – Other ATMR10.50 + R1.40 per R100R9.95 + R1.35 per R100
Cash deposit – Absa ATMR4.50 + R1.40 per R100R3.95 + R1.35 per R100
Airtime purchase using Absa channelsR1.50R1.15
Debit order (external)R18R16.95
Electronic account paymentR8.50R7.50
Balance enquiry at Absa ATMR1.75R1.50
Monthly fee on overdrafts over R250R68.40R68.40
Declined debit order (insufficient funds)R50R50 for first 3 per year, thereafter R150
Declined POS/cash withdrawal (insufficient funds)R6.00R5.50
Replacement cardR140R120

Pricing for pay-as-you-transact banking has seen steep increases on both the lower and higher ends. The monthly administration fee for both accounts is up over 50% (reaching punitive territory) and is surely part of a deliberate strategy to shift customers to bundled pricing. And, given that per-transaction charges are up across the board, the appeal of these types of accounts is very limited and realistically only an option if one transacts very little.

Monthly admin fee20182017Change
PlatinumR65R42+55%
Gold/ProsperityR45R42+7%
Flexi AccountR25R16+56%

Credit cards have also seen increases across the board, with an average jump of 20%. The monthly credit facility fee (charged separately and capped under the National Credit Act) remains R25. The jump between 2016 and 2018 on credit card fees is especially steep, with Premium up 25%, Gold up 40% and Transact (lower-end) up 140% in the period.

Credit cards: monthly fee201820172016
Premium (nee Platinum)R50R43R40
GoldR21R17R15
TransactR12R10R5
Monthly Credit Facility Fee (for all accounts)R25R25R25
Initiation feeR165R160R150
Card replacement feeR140R125R120

These pricing moves come as Barclays Africa Group reported a decline of almost 300 000 customers with transactional accounts at its South African retail banking unit, Absa, between July 2016 and June 2017. As at June 30 2017, it had 5.96 million ‘transactional’ customers from 6.25 million a year ago, a decline of 4.9%. It said in August that this decline was “mainly driven by bank-initiated closures of dormant accounts in the entry-level segments”. However, it said customers in its ‘target’ segments grew, with Private Bank and Affluent (Premium Banking) customer numbers up by 4% and 12% respectively.

Comments

Tags: ABSABanking FeesBarclaysBarclays Africa GroupReserve Bank
Share65Tweet40Share11Share16Send
Previous Post

R20m for Mandela picture

Next Post

Baloyi suspended as president of Black Business Council

Next Post
Baloyi suspended as president of Black Business Council

Baloyi suspended as president of Black Business Council

Please login to join discussion
No Result
View All Result
Currently Playing

SAElections2019 Indelible Ink & Election Fraud

SAElections2019 Indelible Ink & Election Fraud

00:01:40

Why would Mampintsha assault Babes Wodumo?

00:00:40

Alph Lukau “raising the dead” is a fraud

00:01:36

Moozlie Mabena involved in a live video crash

00:00:58

Welkom Hijack Man shot in parking lot

00:01:04

Female theft suspects tries to evade guards at Clear Water Mall

00:01:48

Franchise Driver on duty with sex worker

00:00:47

Courageous female driver attack hjackers on driveway

00:01:33

University of Zululand Student stabbed to death by roommate

00:00:41

Vehicle High Jacking on Cedar road, Midrand

00:01:57

Watch thief steal a Hilux in Bloemfontein

00:01:05

Watch Mosque Shoe snatchers in action

00:00:43

Watch these Unbelievable Shoplifters Caught with the Loot

00:03:13

Journalist attacked by EFF Floyd Shivambu and security details

00:00:43

Attempted cash in transit heist by DSTV office in Randburg

00:00:48

KFM Presenters and the Three Rs Blunder

00:00:59

SAPS Higspeed chase

00:01:08

Ruthless home invaders in westrand

00:01:30

Dj Khomza bashes girlfriend with a spanner

00:01:56

Daybreak Robbery in Auckland Park

00:01:15

Fake Police arrested in Johannesburg

00:01:00

#MduduziManana assault video at Cubana

00:00:29

Racial assault of couple at KFC montana

00:01:22

Smart Porsche driver escapes hijackers in Johannesburg

00:00:49

VW Polo Hijack at Kempton Park filling station

00:02:13

Women caught husband cheating and jumps on Carhood

00:02:02

Carlton Centre, Joburg Heist

00:01:06

Did Malema call Mandela a Sellout ?

00:02:01

Petrol Attendant beat up a man

00:01:01

Car Hijack gone wrong

00:02:15

Armed robbery in Alberton

00:00:52

Mother and son in Polokwane attacked by panga wielding robbers

00:02:04

Hyundai i10 Hijacking in Chatsworth

00:00:59

Check more Videos on Youtube

Connect

Connect
TownPress

Copyright © 2021 Townpress.

Navigate Site

  • Terms and conditions
  • About Us
  • Subscription
  • Contact
  • Account

Follow Us

No Result
View All Result
  • Latest
    • Community
    • Africa
    • International
  • Sport
  • Business
    • Finance
    • Technology
    • Motoring
  • People
    • Opinions
    • Health
  • Politics
  • Media
    • Entertaiment
    • Social Media
    • Media
  • Public Statement

Copyright © 2021 Townpress.

Welcome Back!

Login to your account below

Forgotten Password?

Create New Account!

Fill the forms below to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Add New Playlist

Go to mobile version
This site uses cookies to improve user experience: Find out more.