I’m changing to Capitec – I’ve had enough of Standard Bank
A while back when I was buying a car, I posted about Standard Bank’s ridiculous charges for car finance. Their charges for everything else are equally ridiculous. I noticed that they were recently placed at number two hundred and something in the Forbe’s global top companies list (up from five hundred something). I can tell you why they are so high up the list, it’s because they charge ridiculous fees to use your money.
I’ve been with Standard Bank for many years (15 or so) and I have a basic achiever account, nothing fancy (I’m just a poor boy from a poor family). The minimum monthly fee is R57, internet banking is R22, which is nearly R80 a month for nothing. If you actually have to transact, you’re in bigger trouble. Withdrawing R1000 from a Standard Bank ATM will cost R14. I don’t even want to talk about the cost of making payments as my blood is starting to boil. To add insult to injury, you earn no interest on your current account!
I’ve decided to leave Standard Bank and move to Capitec. Monthly account admin fee is R4, to withdraw R1000 from ANY ATM is R6.50 (or R1 if you use a Capitec ATM) and internet banking is free. All the other account charges are equally reasonable and you earn 10% interest on your current account balance.
I opened my account on the weekend, it took about an hour and everything seems to be in order. I plan to close my Standard Bank account next month and will let you know how everything goes.
April 20th, 2009 at 2:47 pm
In the middle of the same process. Bect part about Capitec is zero charge for a debit card transaction !
April 20th, 2009 at 2:59 pm
If you think Standard Bank are bad, you should try Nedbank! The biggest bunch of morons that ever infested the face of our planet!
April 20th, 2009 at 5:36 pm
I’m also with Standard, and have been watching with my jaw dropping as they suddenly hiked up all my fees, without so much as a by your leave… Now, instead of the flat fee I used to pay for all transactions, I’ve begun to pay what appears to be a percentage based fee. Not once did they bother to ask me about it, let alone give me some kind of headsup. Totally ridiculous, as far as I’m concerned. I’ll be keen to hear how it goes with Capitec…
April 21st, 2009 at 1:54 pm
Hey Dax
Interesting point you have made. I have made a calculator which compares all the bank charges here in ZA. http://www.justmoney.co.za/bank_account_charges.aspx
Give it a try it will more than likely confirm what you are saying, but for the average usage profile Capitec Global One account is a winner.
April 21st, 2009 at 2:55 pm
How important do you rate customer service in relation to price? What’s the most important factor when choosing a bank to commit to?
April 21st, 2009 at 4:10 pm
Thanks Greame, I used the calculator and it confirmed that I will actually be earning money on my current account as the interest will be higher than the fees. Looking forward to that phenomenon!
Dianne – my banking requirements are simple. I need an account to hold my money and allow me to make some payments, etc. Service does not play a role. Maybe a business account would be different.
I’m not suggesting that Capitec service is worse than Standard Bank’s. For all I know it could be better.
April 23rd, 2009 at 2:58 pm
@Dianne Hi!
We have put together a poll looking at what people look for in a bank. It can be found here:
http://twtpoll.com/r/fdczxm
@Dax good luck with your new account would love to hear how you find them when you swap over
April 23rd, 2009 at 6:07 pm
@Graeme – Thanks for creating the poll, it’s going to be interesting to see what the results show!
@Dax – Keep us posted on the customer service you get as well – great products indicate a customer-centric organisation, so let’s see if this is followed through on the customer service front.
April 24th, 2009 at 8:53 pm
hi dax,
awesome, thanks for being the guinea pig. and please please please keep us posted cos from what you have said, Capitec sounds awesome.
did you move your credit card to them too (if you have one)? am wondering if it’s going to make sense for me to move there – cos i currently have a Std Bank current account which is linked to my Std Bank credit card which is really convenient ito payments etc
April 25th, 2009 at 12:21 am
I do have a credit card with Standard Bank but I don’t use it, it’s my spare card in case something happens to my primary card which is a Discovery card. Capitec does not have a credit card, although I’m sure they will in the future.
What I do know is that paying your Standard Bank credit card online from your Capitec account will still be cheaper than transferring money from your other Standard Bank account. That’s the whole reason I am moving.
I would suggest you kill the Standard Bank credit card and replace it with a Virgin credit card (no annual fee) and kill your Standard Bank current account and switch to Capitec. That will be the optimal combination.
I will stick with my Discovery credit card because the loyalty points are really worth it.
April 28th, 2009 at 2:12 pm
hi dax
thanks for advice… sounds all good to me. you should maybe consider a career in personal financial planning? :)
April 29th, 2009 at 11:55 am
Hi Dax
Great to hear you’ve opened an account with us! You’ll definitely enjoy the cost saving benefits and we try to make banking as simple and easy as possible too.
And just shout if there’s anything you need help with.
Cheers
Sumarie Brand (Capitec Bank)
May 6th, 2009 at 9:32 pm
Hi Dax
I found your blog while I was searching for info on Capitec. Sounds like you just did what I am thinking of doing. After being with Standard Bank for the last 19 years, I think it is time for a change.
The last straw was when they charged me a total of R380 in “over limit” fees on my cheque account, while there were plenty of funds available in my savings account. I realize that this was my fault, but I am sick and tired of logging into internet banking to shift numbers around.
What I like about the Capitec account is that everything is in one interest bearing account. I can just put all my savings into the account and transact from there. Why can’t other banks do this?
I am still looking at the different options, but Capitec sounds like it could work for me. I will check back here to see how things worked out for you.
May 8th, 2009 at 11:17 am
I moved to Capitec about a year ago. I was with Standard before, let’s not even talk about that. I have been nothing but blown away by Capitec’s efficiency, fees and interest. I nearly fell over the first they put money INTO my account. I have nothing but rave reviews for Capitec and encourage anyone who is thinking of doing a switch.
FYI I moved my credit card to Virgin Money where I also get 10% on any positive balance. They have also been really great to deal with in comparison to Standard Bank, except that I obviously have to pay back any amount that goes into credit. When you find a bank that doesn’t require you to do that, kindly let me know!
May 11th, 2009 at 1:38 am
An update on my progress with moving from Standard Bank to Capitec:
I had to make a second trip into the Capitec branch to open my savings account linked to my current account. I could do it all from one account as the interest is the same but for security I want my savings separate (don’t want to be kidnapped and held at gunpoint while they empty my life savings out of my account at R1000 per day – that would take 2 days!).
I could have saved myself that second visit if I had thought about it before I went in the first time.
I closed my Market Link account at Standard Bank and had them transfer the balance to my current account. When that was done, I transfered that into my Capitec Savings account.
Then I logged onto Capitec internet banking, it’s a very basic online service, but I could do what I needed to do which was set up repeat payments for my rent etc. I had to phone the call centre to get the details for the FNB suspense account so that I can pay my discovery card. The Capitec call centre was efficient and helpful.
I have now contacted all companies that debit my account every month and informed them of the change of details. I have also informed HR of the new details for my salary.
I have left some money in my Standard Bank account in case I have forgotten about some debit. I will close it next month and the process will then be complete.
It’s been a bit of admin, but I think it will be worth it.
May 11th, 2009 at 9:21 pm
Hi Dax
This has interested me a lot (being a long time Standard Wank customer).
Can you post some details on how to obtain these Capitec and Vigin Acounts?
Is it just a matter of going to a branch near you?
All the best !
May 11th, 2009 at 10:29 pm
Hi Simon, opening an account is easy. Just go to your nearest Capitec branch with your ID and a recent utility bill (to prove your residential address). It takes a few minutes and you have your shiny new bank account.
For the Virgin credit card, go to http://www.virginmoney.co.za and click on ‘Apply Now’. Easy as!
May 12th, 2009 at 3:07 pm
Although last month’s Justmoney poll, What Do You Look For In A Bank?, showed that customers want low bank charges above all else, it seems like Capitec have a great system in place: low bank charges and a customer-centric approach. Well done :)
May 20th, 2009 at 12:29 pm
What about credit history when applying for home or business loans ? I went to standard bank yesterday and asked their opinion on the fact that all their customers are going elsewhere, their response was that yes you do get better rates but when it comes to credit history this might affect you when applying for loans…
May 20th, 2009 at 1:45 pm
I doubt it will affect you when applying for loans. The Credit Act specifies the criteria that is used to evaluate your credit worthiness.
Loyalty is a thing of the past. You have no ‘relationship’ with your bank even if they try to pretend that you do. When you want a loan, they type in the numbers into their software program and it tells you how much you can borrow and that is that.
May 21st, 2009 at 5:19 pm
Also looking at changing banks after checking my last ABSA statementto see they have been charging me more than R400 a month on basic electronic transactions. Phoned ABSA and they now tell me they can give a managed account fee option at half my current fees. LOL – now after ripping me off for 13 years. Really peaved and made up mind to change banks and came across this blog while doing research on Capitec.
I would be interested to hear your experience, as I have been thinking of transferring all my accounts from Absa to Capitec. Do you have Capitec’s all-in-one account and have you transferred your vehicle and bond to this account as well and if so how was there rates ?
May 22nd, 2009 at 1:29 pm
I don’t think that Capitec offers car finance or bonds (I have neither). One would still need to keep those with the institution where they are currently.
But paying the monthly installments will be cheaper with Capitec as the transfer fees are low.
May 26th, 2009 at 2:51 pm
capitec is a real bank that you can capitalized on it,in terms of financial charges(e.g transaction that is good to can attained to)since i join capitec several month ago,i have never been seen myself panic about financial viability.thank u capitec bank,what i like to know more is about notify me and how can i be seen notify interms of financial transaction.
June 4th, 2009 at 2:36 pm
And so it it done, after more than 15 years with Standard Bank, I walked into the Paddocks branch today and closed my account.
They tried to convince me not to do it, but after I explained the benfits of moving, I think they might move their own accounts too.
I have a cheque for the balance in my Standard Bank account and when I have deposited it into my Capitec account the process will be complete.
June 9th, 2009 at 4:13 pm
Why did it take you so long to realise? I left Standard Bank more than a year ago and i have saved a lot on charges.
Now i am being victimised. For a personal loan i took from Standard Bank, though i pay for it regularly, i have a number of calls from Lawyers representing Standard Bank. I have ignored those lawyers. I have proof of payments i make.
In these difficult moments, banks should be good to keep customers but standard Bank is not.
June 11th, 2009 at 3:09 pm
Well, today I tried for the second time to open an account with Capitec. They do not have a branch in my area so it is quite a mission to go there. The first time I went there I had an outdated utility bill, so that was my fault I guess. Today when I went there, they all of a sudden wanted some or other tax certificate. So I told them that they just lost a customer – I am not going a third time. I still want to leave Standard Bank though, so the search is on again…
June 18th, 2009 at 10:38 am
I am a ex-Standard bank customer that changed to Capitec last year for my small bussiness. It was the best decision I could ever have taken. My banking fees are so low and their service is GREAT!!!!
We are 12 ladies in a “stokvel”- we use to have a Standard Bank account for savings. This amount is about R45 000 per year. At Standard bank the interest we earned was always just about exactly the same as the banking fees for the year. We started banking our money at capitec in july last year and end of November each member could be paid out an amount of R200 interest! WoW!! it might seem like a small amount but it was R2400 in 6months! I think that is excellent.
I do a lot of internet banking- capitec’s website is user-friendly and it is cheap!
I wish I could move all our accounts to capitec. But they do not have a home loan or cheque account facility. So my husband unfortunately has to stay with ABSA!
I would recommend a swop to Capitec for anyone that wants to save! My grandmother’s favourite saying was that if you do not save a cent you can never save a rand!! She was a housewife on a farm all her life and made some money raising chickens, selling eggs, doing crochetwork, selling homemade butter etc It was never lots of money she earned but she used some and spend some wisely. She passed away in February and her worth in cash was over a million rands- she was an example to me- and I think it is easier to bank with Capitec and start saving those cents and rands than raising chickens…….
June 29th, 2009 at 12:29 pm
Greeting to you all.Yesterday was Potji day. The usual discussions about rugby – cricket – soccer and then some how the subject changed to finance.The OLD MAN banks with FNB.This old man banks with ABSA. Then some one was with Ned another with Std. Nobody, when I asked, was with Capitec.It was a case of capi who.I have 3 accounts with ABSA.One with STD.
Unless someone can come up with a good reason why not I shall be transfering to CAPITEC this month. I shall also get the others who where with me to look up Capitec and ask a few questions. Thank you all for your input.Thanks to the internet, without it I would still be wondering.
June 29th, 2009 at 2:25 pm
Capitec is a good option, as long as you are looking for a vanilla savings account. They don’t offer home loans and market linked accounts and all that.
You can have 1 account with 3 sub accounts linked to it.
It’s cheap and the interest is higher. So far, I’m happy. I don’t often have to deposit though, if you do deposit cash or cheques often, check where your nearest branch will be because you have to do it in the branch.
July 1st, 2009 at 8:19 am
Morning Dax. Went onto the capitec site and viewed some of the comments from people who wern’t happy. One was where capitec took 4 years to reimpurse money which was stolen from the account.Cannot find a comment from capitec on this. The other thing which makes me think is that the major capital invested in the business is by Riaan Stassen and leRoux. What happens when they pull out. Do we end up with another bank collapse with customers losing their savings.
July 4th, 2009 at 9:42 am
Just read an article about SA’s high bank fees… http://http.persfin.co.za/index.php?fArticleId=5044542. Strangely, even though the article is titled “Switching banks is one way of addressing high charges” they only discuss the 4 ‘big’ banks (and how high ALL their fees are) and don’t even mention Capitec as an alternative!
July 17th, 2009 at 11:45 am
Does Capitec offer vehicle finance?
July 17th, 2009 at 1:06 pm
Not yet
July 23rd, 2009 at 11:17 am
Just had Standard Bank help themselves to 20% of a recently banked cheque. 20%!! It’s a foreign cheque (Google), but I still don’t see how they can justify charging that steep a fee when it had already been converted to rands by the time it got to me, and didn’t require a currency calculation.
Yet another reason to do business elsewhere. Yikes.
July 29th, 2009 at 2:42 pm
Check this site, proven that Capitec offer best value
http://www.bizcommunity.com/Article/196/357/37190.html
I have been with Capitec for more than 5 years now, was with standard before that, and I have never regretted it. Have totuted capitec to all my friends and the ones that have moved over have never regretted it.
it is a no frills savings account, but since they have offered internet banking (for free except for low transfer costs (r1.50 per transaction)) it has been great. In one of the extra accounts, I put in R7000 and got R66 per month.
Some things have changed, and though it doesn’t make me regret my decsion, it should be noted.
Interest on credit has dropped. see table below and service charges increased. However, they still blow all other banks out of the water. Now they just have to work on those long lines, though with internet, I don’t have to worry about that anymore
Rates and fees
Daily Savings Savings Plan
Account Flexible Term Fixed Term
R0 – R10 000 7.00% 7.00% 7.50%
R10 000 – R25 000 6.75% 6.75% 8.00%
R25 000 – R100 000 6.75% 6.75% 8.25%
R100 000 – R2 000 000 6.75% 6.75% 8.50%
Monthly administration fee 4.00 4.00 FREE
Effective 26 July 2009
July 30th, 2009 at 3:32 pm
Standard bank is shocking! The last two months have been a nightmare with them to say the least – and before that a disaster waiting to happen!
I have a cheque account and have noticed that the last 2 months +/-R4000.00 has gone missing out of my standard bank account – as a result my account has gone into overdraft. What amazes me is that i did not request an overdraft facility – infact i declined one when a sales rep contacted me. I have had this account for over 6 years and never once have i been in a negative balance. When calling the bank they had no explanation for this instead they told me that I didnt have an overdraft facility. However when I check my statement I get charged every month a 19% intrest on the overdraft which apparently does not exsists. When I contact the bank again I get told that I get charged a monthly fee for not having an overdraft facility. I cant win!
To make matters worse – The last 5 months I have been charged over R1000 for banking charges and internet banking which for 4 months did not work at all. This service is designed to make life easier – yet Everymonth i find myself in this stupid bank fighting a lost cause!
September 16th, 2009 at 2:26 am
I’ve never heard of Capitec untill their recent add campaign and decided to do some research on them (that’s how I came across this site).
OMG!!!! Just like everything else in South Africa (internet, cell charges, etc.) bank costs are absolutely rediculous!!!!
Obviously Capitec is the best way to go, and from what I’ve read here, they seem to be stable and growing even stronger.
Capitec has proven that they can dramatically cut bank charges and still be successfull. If anything, this proves how the so called “Big Banks” of S.A. have been exploiting its customers for decades. In my opinion, they are nothing more than crooks, stealing our hard earned money! It’s CRIMINAL!!!
Thank you to Dax for posting this subject. I know I’ll be changing banks and advising friends to do the same
September 20th, 2009 at 2:22 pm
Hi Dax – Standard Bank has a lot of rip-off options, but after carefully studying their spreadsheet I have found an option that actually has decent value.
My choice is the Standard Bank Classic Checque account with fixed monthly fee of R87pm, which is giving me internet banking, 8 withdrawals, several free debit orders (using 3), and 30 free EFTs (using about 8/month). Although Capitec per-transaction fees are the lowest, I don’t think they have a package deal like that.
September 21st, 2009 at 12:02 am
That is an improvement, looks like Capitec is shaking things up. But they still pay you no interest on your current account. I earn more interest on the little bit of funds in my current account than the fees I pay. That’s how I like it.
ps. your free withdrawals are only at Standard Bank ATMs.
September 21st, 2009 at 9:25 am
Dear Graham
8 withdrawals @ the shops with Capitec = R1.20 times 8 = R9.60. or at the bank = R2.20 * 8 = R17.60
10 EFTs would cost you R11.50
5 Debit orders would cost = R11
R4 monthly admin fee
Therefore on what you actually use you would pay R27.10. or R35.10
Therefore Capitec would save you R67 per month plus you get a huge interest rate (6.75 % compunded monthly is the minimum). Therefore every year you would save R804 in interest charges alone. Then you still get to add your savings compounded monthly.
Plus statements are free when you have internet and internet banking is also free (ie no monthly charge, but you do pay per transaction).
Why go for a package when you can score much higher on individual service charges.
September 30th, 2009 at 9:28 am
Hi everyone
I just wanted to thank you all for all the very helpful information.
I’ve been without permanent work for most of the year, so I’ve been trying to cut costs where possible.
I’ve been with Standard Bank for almost 16 years and in those years I never gotten as much as 1c back from them.
They have only ever taken from me, like last month where they charged me almost R300 for late charges on my credit card cos I couldnt pay it intime, and they couldnt have been bothered when I told them I currently didnt have an income.
I’ve been thinking about moving over to Capitec and I’m very glad to see they have alot of happy customers.
I will be doing my ove very very soon.
Thanks again for the helpful info
October 15th, 2009 at 2:19 pm
Well! Talk about an eye-catching tag line. I’ve been thinking about switching from Standard for a while now and your blog came up (as it did for several others judging from the comments above) when I did a search for Capitec. I opened your site before the Capitec site and you made my mind up for me before I did any reading on their site – Dax, they should start paying you commission for each convert. In the last two months Standard bank employees have cost me R200.00 because of their incompetence and, in spite of having the R87.00 fixed charge package, today I was chaged R3.00 for sending a confirmation of payment via fax! Laughable when you consider that for an extra R1.00 that would equal the Capitec monthly administration fee. I work in Central Durban and there’s a Capitec right around the corner from my office block in West Street – on the right just before SARS. As soon as I get home this evening I’m going to put my latest utility account in my bag and tomorrow, during my lunch hour, I do believe that I will be taking a liesurly stroll to open an account with them. YeeeeeHaaaaa!
October 16th, 2009 at 11:40 am
im also with standard and charges are crazy.
i did contact capitec but they said they have no business accounts.
Thank you for your interest in Capitec Bank.
Capitec Bank offers a savings account facility known as the Global One Banking Facility. The Global One Facility is a unique product offering that is designed for an individual.
At present we do not have a product designed to suit the needs of a business / corporate client.
However, we do offer Employer Salary Transfer Facility (ESTF) which allows you to make cost-effective weekly or monthly bulk payments. You can also settle the payroll from any location because it is an Internet-based product, offering convenience like never before.
Should you have any further queries in this regard, please contact Commercial Client Care on 0860 667706.
October 17th, 2009 at 12:45 pm
Sally, glad to hear you’re making the move. I’m sure you’ll be happy.
Fil, you are correct, they are not business oriented at the moment. I’m sure that will come with time. I have to deposit a cheque from Google, so am waiting to see how they handle that as the branch was not able to do it.
The reality is, Capitec is great as long as you have basic/normal transactional needs. It won’t suit everyone and if you have complicated banking needs, then paying the extra fees to one of the other banks is probably worth it.
Having said that, I have created accounts linked to my account for my various businesses, because I really just need to receive payments and make payments for which Capitec is quite suitable.
October 21st, 2009 at 9:06 am
How about an update on Capitec’s service ?
October 29th, 2009 at 3:04 pm
So I put Capitec to the test recently. I received a cheque from Google and it is not from a South African bank so the cheque reader at the branch could not read it.
The branch manager was meant to follow up and call me during the week but didn’t (he said he was waiting for head office to get back to him). So I called the call centre. They were not very helpful so I emailed Sumarie from Capitec who left one of the messages above.
She put me in contact with the correct person and I went and deposited the cheque the next day. All sorted and no extra charges.
I was happy but I hope that everyone else that has such difficulties can get them resolved so easily.
October 29th, 2009 at 3:38 pm
I paid R110 000.00 into my bond account from Capitec. Was charged R1.20 in fees plus R2 for the fax confirmation that I sent, which also allows you a full cover page where you can write a whole essay to the beneficiary.
R3.20 for such a transaction, where else could I get that???
Still happy with them, after 5 years now. Not as great savings, but still 8.5 compound interests is better than anywhere else.
Was a bit disappointed when I tried to do a debit order purchase of R15 000 and it wouldn’t go through, i have since found that there is a limit of R10 000.00 for debit order purchases.
October 30th, 2009 at 8:48 am
Hi Guys,
i am also sick of all the charges from all these bull Sh!t banks. I finally have some big capital to invest, does any body know if Capitec can beat an intrest rate of 6.85 on a fixed term investment acc, that is the rate that ABSA offord me.
i use to bank with Nedbank for years but they totaly ripped me of. Now i have about R300.000.00 to invest please advise me if i open a fix Term acc with Capitec what the % is that i can earn on that capital???
October 30th, 2009 at 9:12 am
Capitec’s normal accouunt offers 6.25% interest and you have full access to all your monies. This for a R4 per month administration fee. For a fixed terms you get 8.5% interest, and it is for 6 to 12 months. Check to ensure that it is compound interest. you must chose the re-invest option otherwise you will earn simple interest.
What I am not sure about, is whether or not other banks compound the interest daily as Capitec compounds the interest on a monthly basis on their fixed interest. Which is different from the savings account when I first took it out.
this may be something to look into as it makes a vast difference to your interest earned.
October 30th, 2009 at 11:32 am
Thank you for clearing that for me Justin, i will most def go to the West str branch on Saturday to get all the details. i have burned my hands b4 with Nedbank so this time round i am doing my home work.
if they can offer me an intrest rate of 8.5% that is geat do you know whether Capitec bank has got an even higher intrest rate on another investment.
Cause ABSA offored me an intrist rate of 8.25% on their 90/10 acc.
November 19th, 2009 at 12:32 pm
CAPITEC are my heroes. I didn’t believe it when they claimed you could use their debit card to draw money at any Maestro friendly ATM in the world without any prior arrangements. In October when I visited London, I was filled with glee when I could draw at the ATM as much as 250 Pounds per day using the Capitec debit card without speaking to anyone first. This was ofcourse after the Standard Bank Travel Wallet was a total stress.
December 1st, 2009 at 8:41 pm
I just changed from Standard Bank
Standard Bank suck big time
December 2nd, 2009 at 2:10 pm
I just phoned Capitec today to find the nearest branch, i just about had enough with Standard bank. Been with them for years but they never made it simpler better or faster for me,just grief.fees are ridiculous.
hope i’m making the right move though.
December 4th, 2009 at 7:21 am
We think you’re making the right move, but be sure to pop back and let us know how it goes.
December 21st, 2009 at 11:18 am
Hi Dax
Have been with Capitec for more than a year now. Am vey happy. Thier banking hours are also great. Open at 8.00am and close at 5.00pm. Saturday they are open until 1.00pm. I think it is great plus all the other great deals.
December 28th, 2009 at 9:09 pm
Quick question: Can anyone tell me what exactly the difference is between Capitec’s “Savings Plan” and Fixed Term Saving Plan”. The brochure says one chooses your own term on the “Savings Plan”, yet you have immediate access to funds when needed – does that mean penalties on withdrawals, or what? My need is for an account to use for daily transacting, and a separate account for savings (so I don’t accidentally spend my savings :-) I have to be able to get to my savings immediately when necessary, though, and would not then like to pay penalties (Would rather go into a money market account, then – I’d already be earning less interest for the sake of convenience by going to Capitec with my savings)
December 28th, 2009 at 11:27 pm
You can have up to 5 linked accounts. All of the accounts are ‘savings accounts’ as opposed to ‘loan accounts’. Fixed term gives you more interest but it’s a fixed term. I have 1 account I use as a ‘current’ account (but they still call it a savings account) and the rest are savings account into which I transfer money when I have it and I sometimes take money out when required. Simple.
January 25th, 2010 at 11:33 am
I havebeen banking with standard bank for 15 years, and i have just had enough, apart from all the charges they charge, they have refused me anything i have ever requested frm them, home loan, credit card, car finance and a personal loan. I got all of these from different banks who were more than willing to help.
Up Ures standard bank if this is the thanks i get for all those years with u
January 27th, 2010 at 1:20 pm
Capitec is a far Winner in all categories; service, costs and fees, reliability, etc. I HIGLY recomment Capitec, I’ve bee to a couple of branches in various places and the services rendered are equally pleasant – that’s an added bonus to the low fees we pay and the interest we receive.
January 31st, 2010 at 9:52 am
Opended a new capitec account last week and plan to close my Absa one next week. I want a bank which focuses on the basic stuff – so I dont have to subsidise, through my banking fees, their big buildings in Sandton, massive top management salaries, expensive adds in every newspaper, their gambling habits in the international futures and money markets, and their acquisition of dubious companies and properties. Not to mention the effort they make in screwing over the little fish. They are too big not to fail. Phansi Absa phansi!
January 31st, 2010 at 10:04 pm
Opened an account last week with Capitec. Wow. Awesome experience so far. Can’t wait to actually start earning some interest on my account for once. Hope to close my FNB cheque account soon.
January 31st, 2010 at 10:08 pm
oh wait too late… compounded daily… I guess I’ve already earned some interest on the money I put in when I opened the account. :)
February 2nd, 2010 at 12:45 pm
Tired of having to go into Nedbank to give formal written notice that I want to make a withdrawl on my savings account, I have just tried to open a Capitec Account.
Arrived with ID and proof of residence, but then get told I need Employment Contracts or tax returns. Why? I only want to open a savings account. Just phoned the Capitec helpdesk, they don’t know why I need this. I did my tax return online…. and am a freelancer without a written contract.
So much for no paperwork at Capitec Bank.
Is there a actually a decent bank in South Africa?
February 2nd, 2010 at 12:55 pm
I’m not sure what’s happened there, I wasn’t required to produce those documents…
February 2nd, 2010 at 1:11 pm
I wasn’t required to have those documents either, the only thing i can think of is that they mistook you for wanting to open a loan account, and those documents were needed for verification of your ability to repay. Credit Act????
Otherwise don’t know and the fact that the call center does not know seems to indicate a misundertanding or a dumb employee, which every organisation has. There will be a complaint book right there in the foyer though that you can lodge your grievance if it was a dumb employee.
February 3rd, 2010 at 10:05 am
Hi Dax
As others I researched Capitec and Google led me to your blog.
For personal money matters I need a bank for the follwing:
1. Cash
2. Debit orders
3. Electronic payments
4. Savings and Interest
Capitec will do all this for me at low rates. My question may sound silly, but … Do I still need a Credit Card as well and if yes, what for?
Regards
February 3rd, 2010 at 10:18 am
For your credit rating. When you go looking for money the institutions look at your credit rating. With no cheque or credit card account, you have no rating and it will take longer if ever to secure that loan.
Good way to stay under the radar though…
February 3rd, 2010 at 10:34 am
Thanks for answering that so quickly.
I thought the Capitec account is a combined savings/cheque account. On thinkmoney.co.za it is listed under current accounts. I am so glad I asked the question.
1. How often should one then use a Credit Card?
2. What other advantages are there, if any, of using a Credit Card?
Thanks!
February 3rd, 2010 at 6:31 pm
Hi Rey
The Capitec accounts are all ‘savings’ accounts (remember that when drawing from an ATM) but they behave like current accounts in that there are no restrictions on what you can do.
The advantages of a credit card are that you get interest free money for up to 45 days, you get free transacting, convenience and possibly rewards. I use my discovery credit card to pay for everything and at the end of the month I just transfer the amount I owe. That way I pay no interest and I earn interest on that money while it is in my savings account. I also earn discovery miles on all my transactions and pay no transaction fees.
There are 2 disadvantages, 1 is that you might be tempted to use the credit instead of paying the whole balance. That becomes expensive and can lead to debt problems. It depends on how disciplined you are. The other is that there is an annual fee of around R200 depending on the card. I recommend the Virgin credit card which has no annual fee.
You will need to have credit worthiness to get a credit card though as it is the same as being given a loan, so some people do not qualify under the national credit act.
I’m not sure that Justin is correct about the credit rating as now with the credit act, having a credit card counts against you because they look at your total liabilities. But I could be wrong.
Hope that helps.
February 3rd, 2010 at 8:31 pm
Thank you so much for your replies Justin and Dax! It is most helpful.
Regards
Rey
February 22nd, 2010 at 4:05 pm
I settle all my accounts with Standard bank via an attorney (debt consolidation)only to get a phone call from them, 10 MONTHS later, informing me that I owe an amount of R40 000. They could not explain where that amount came from. Somehow, now the amount has been reduced to R28 500.!!! They cannot find proof of payment on their account for the day on which the payments were made. I will never bank with Standard bank ever!
February 23rd, 2010 at 11:04 am
Firstly Dax – GREAT BLOG!!!!
I have been involved in business development/marketing for a long time within the financial services arena, and I can tell you with certainty, the so called “big 4″ are so arrogant and narrow minded that they think that this blog is just a blip on the radar. Hehehe lets see this time next year when Capitec once again increases earnings by over 30% year on year.
Well done Justin and Dax
February 23rd, 2010 at 11:57 am
Well I’ve been telling everyone I know to go over to Capitec. I’ve had my account for a few weeks now. I can’t believe how much money I’ve practically thrown away with absolutely no benefit to me since I started working.
I’m now convinced that anyone who uses the big 4 do so out of ignorance. They don’t care about you, they charge you a fortune, and they’re constantly trying to get you to waste more money.
The thing I’ve liked most about Capitec is they are not stuck in the dark ages. Everything is geared towards the technology and convenience that someone in 2010 has available to them. Sometimes it seems that the big 4 are still trying to do business the way it had to be done 100 years ago except with computers. Capitec is breaking out the box and I look forward to seeing what they do in the future.
March 12th, 2010 at 1:47 pm
Hi guys.
Thanks that I found this site. Iam sick of Standard bank.
I have been with them for over 20 years and their service just gets worse and worse.I found that they charge me a fortune for basic things and they DO NOT even bother to listen to your complaints.
I was looking at Capitec but now Iam convinced, Iam opening my account tomorrow.
Thanks for the feedback guys, Iv heard from other people locally that Capitec is cheap and gives better service than these other banks.
I’ll keep you guys posted
March 12th, 2010 at 3:05 pm
Good afternoon all.
I really love the service & help received from Capitec Bank, I would just like to leave 1 comment.
I would really like to see more ATM’s around of Capitec. If this happens i am sure that the ‘BIG 5″ will not survive.
Please Dax slet me know are you’ll working on a plan to put more ATM’s around.
Cheers from a very happy “) Capitec Client.
March 12th, 2010 at 5:14 pm
I certainly will not be putting more ATMs around as I don’t work for Capitec, although I am hoping they decide to advertise on my site because this post is getting lot of traffic.
I believe that Spark ATMs charge the same as Capitec ATMs so maybe give them a try and see what the charges are. There are quite a few of those around.
March 15th, 2010 at 10:10 am
Hi
With regards to the ATMS, you can use any Atm, same as the top 4 banks, the charges are still low.
R6 for any transaction, flat fee, no matter your withdrawl amount:)no matter whihc Saswich atm you use.
Plus for withdrawals you can use any Pick and Pay, Shoprite and Score.
You also have the interent banking option, transactions fees are lower than normal and no monthly subscription fee.
And there is no charge for straight debit card transactions.
Why would you need more ATMS? I guess because it R3 a tranaction and free balance statements? Still no train smash to use the other ATMS.
Ps, you can access the internet banking via cell phone through Opera Mini.
March 15th, 2010 at 10:11 am
Ps, if Spark Atms are those ones in the shops, you will see a lot of them are powered by Capitec, the same bank charges apply.
March 17th, 2010 at 3:34 pm
Have been with Capitec for about 5 years now (wish I’d bought more of there shares then)having enjoyed very good service throughout this time, never having experienced any problem and always being treated very well by their staff.
How many companies can one honestly say that about these days?
Also have saved considerably in fees during this time, as well as in both frustration and stress. Apart from appearing to be well organised with little in the way of complication, yet able to operate a very secure system, they also provide well for the needs and comfort of their clients when visiting their branches or using their facilities. This is in stark contrast to most of the other banks, as well as others in the service industry, who in this respect seem to put the customer way down in terms of consideration.
My only negative comment is that they do not have enough of their own ATM’s but this is partially offset by being able to make withdrawls at some of the stores and is probably one of the reason they are able to maintain lower fees.
I am now about to cancel my Nedbank credit card to avoid their ever escalating high annual fees as well as the unreasonably high interest fees incurred if one misses a full payment date even if it is their fault that in that they do not process the payment in time. I intend rather to rely on my Capitec debit card for all purchases and cash withdrawls from now on as I’ve have been very happy with the results of using it in this way over the past few months and find the fees very reasonable.
When comparing competitive savings account rates from other banks to those offered by Capitec, I would strongly advise that they are asked provide in writing details of all fees applicable to the account being considered, including any entrance fee to be charged on the amount deposited. As a case in point, my wife on opening a fixed deposit account with Absa some time ago, was charged with such a fee which had not been disclosed to her, this in spite of her having asked for details of all the fees due. To their credit they did cancel this after receiving a strong protest from her, but she is now very wary indeed of dealing with them. She is now also a confirmed Capitec client.
Lets hope Capitec manage to maintain their current excellent level of service and avoid following in the footsteps of many other companies who have allowed their service levels to fall having become corrupted by success.
Others could do well to heed the writing on the wall!!!!
April 2nd, 2010 at 3:09 pm
Good afternoon,
My Standard Bank poor service story as published on my own website:
http://www.vernonchalmers.com/home/standard_bank_poor_customer_service_
Dear reader
Herewith to share with you yet another pathetic service delivery experience. This time at Standard Bank Milnerton on 31 March 2010. This is of course my opinion and my experience, but why is it that the basic obvious costumer service is often neglected at this branch – or is it Standard Bank in general?
Same old story
Standing in a queue at month-end with only three of the five point of sales booths were open to the public. This while businesses are making cash deposits and with the obvious increase of floor traffic more than VISIBLE at month end.
No leadership?
Not one single STAFF MEMBER of this branch took any care of SUPERVISING this process. I finally observed a Standard Bank ‘senior’ employee making photocopies – but with NO INTEREST to even look at the queue (their bread and butter). After attracting his attention and telling him about this lack of customer service I was in no uncertain terms informed that it is the team leader’s responsibility.No RESPONSIBILITY taken by this banking official (not even an attempt), no interest and no customer care. No team leader insight.
Visible barrier
With a divider panel in front of the service delivery counter there is no way any service delivery agent / team leader will ever observe any effective / poor service delivery standards. No VISIBILITY between customer and TEAM LEADERSHIP. Standard Bank should be ashamed of themselves for placing a barrier between their so called shop floor leadership” and their clients. I personally think they are hiding from operational efficiency.., creating an unfair business practise for both the customer and operational staff,.
Personal confrontation
I raised my voice at this gentleman, because I wanted to. I wanted everybody to hear my complaint – because it concerned everybody in that queue. Suddenly serviced happened. Another counter suddenly opened up. And this is not for me dear reader – this is for everybody standing in these queues.
Sad conclusion
What comes to mind here? A definite lack of branch leadership. A lack of intensity in [any] real customer care and / or a lack of customer service delivery skills ever so often displayed at this branch.
What I realised today is that this will NEVER change. They just cannot change it – unless you change the poor service delivery culture in management you will not see any changes. Fortunately most of our business can be delivered via the Internet. I am of opinion that the decay of leadership is not staff related, but is 100% the product of their management’s inability to understand basic business / service delivery principles.
As always, I find this level of uninterested and pathetic service levels unacceptable, but let it be a lesson for the rest of us on how not to treat our customers.
Vernon Chalmers 1 April 2010
April 6th, 2010 at 2:18 pm
Hi guys and gals
I’m a young lady just looking for the best possible option to save money
I don’t earn alot but at the same time I don’t have many expenses at the present time. I find that it’s important for me to save money and was thinking about the saving plan from capitec.
Anyone have any suggestions…
Some pro’s and con’s of this option would really help
April 8th, 2010 at 7:37 am
Hi Meagan,
The only con would be if you rely a lot on ATM’s. Even so it is not really a con as Capitecs fees at other ATM’s are often cheaper than other banks standard ATM fees at their own ATM’s for large amounts of cash.
The internet banking could use an interface update but it is functional and works. At this point it has no fluff features (i.e. you can’t use CApitec Internet banking to buy airtime or electricity)
I’ve been with Capitec for about 2.5 months now and am completely happy. It is so nice to finally have my interest earned exceed my banking charges paid.
Gareth
April 8th, 2010 at 7:56 am
Hi Gareth
Thanks for the info, it makes me feel a little bit more at ease, you know starting in the real world aint that easy as most people just want to “CON” you and really just rip you off, I’ve seen it with people who have been in the game for many years, that’s why I really just want to do things right the first time round I don’t want to save my money somewhere it would cost more than I am saving in the end… You know?
Anyway, I do believe I have my mind set and will be opening a saving plan account at capitec as soon as possible.
Thanks again by the way.
Meagan
April 20th, 2010 at 11:26 am
Capitec it the best bank ever believe me. It been 5 years now of a good & trustful relationship with them.
Thanks to my late mother who introduce me to Capitec Bank.
Invest with Capitec the interest is good. I even told my colleagues about it cause i know & I’ve got a proof of what i’m talking about, with the money that i invested i bought myself a Golf 5. Thank you Capitec
May 5th, 2010 at 8:43 pm
WOW!! after reading all these posts I’M SO PROUD TO WORK FOR CAPITEC BANK ;)
I’m sure you will all find what you’re looking for with CAPITEC
May 7th, 2010 at 8:02 am
Having moved to Capitec, I never worry about ATM’s just go to PnPay as it only costs R1 to draw money. Cheaper than any ATM.
Meagan. To add to my Capitec account I opened a Bidvest 40 day notice account. This I use only as a savings & gives an even better interest rate.
Having a credit card is always a good back up, just keep it in control.
The big guns have really become the fat cats. Capitec, Bitvest, Virgin Money, get my vote 100%.
May 17th, 2010 at 6:11 pm
I moved from ABSA to FNB – Smart Account with unlimited payment option. Service fee of R 59,90/month. The following transactions is free: Debit card purchases, debit orders, cash withdrawals from FNB Atm’s, Internet & Cell phone banking, transfers in and out of account. The only services that is charged extra is withdrawals from branch, cash deposits at branches, cash withdrawals from Saswitch machines. I save R 500/month
June 10th, 2010 at 12:57 pm
Capitec is the Best! I also have a Discovery VISA card which gives me points and helps me with my Medical Aid.
Here’s another option – FNB Encore account for the over 55′s. Most items are free (ATM withdrawals and Internet) and you will have to deposit R10,000 into a fixed deposit (at a good rate)Remember for most travelling in Africa you need Visa as it’s the ONLY credit card that works in the few ATM machines! Applies to most developing countries as they are they credit card with approx 80% of the market.
June 14th, 2010 at 11:55 am
To FNB customers
Even if FNB is cheaper, it can never be compared with Capitec, i was using FNB but now i am using Capitec.
Guys almost everything is for free, and i now see where my money is going. Service Fee of R59 is cheaper but are you swiping for free, re you drawing cash for less charges? i do that for very very less and for free,i dont fell guilty after swiping coca cola can cos it is free. Capitec is the best. As for travelling visa, i will cross the bridge when i get there anyway is not like we travel everyday.
June 15th, 2010 at 9:03 am
FNB works for me, Capitec branches are not everywhere, and with FNB’s Cash Send option, I can immediately transfer funds from my cellphone, internet banking or FNB ATM to another person. I say again, only R 59,90/month, all cash withdrawals at FNB ATM’s are free, no debit card purchase fees, no debit order fees. You only pay for cash deposits and withdrawals done inside a branch, from a Saswitch ATM. Cellphone, Internet Banking and In Contact is for free
June 22nd, 2010 at 11:01 am
The FNB option that Reinette is speaking about sounds good, I looked it up, I just can’t seem to find the fees for debit order payments, unless it is listed under stop orders, in which case it will be R25 per online banking. I also can’t see the credit interest that you will get in that account.
The other options sound good though and it is much better than anything else they had to offer before, this might be directly attribubtable to Capitec starting a better banking paradigm.
June 22nd, 2010 at 11:14 am
Hi Justin
No fees are charged for debit orders. I have several debit orders on my account and has never been charged a cent – what a joy compared to another bank’s R35,00 per debit order
June 28th, 2010 at 2:05 pm
What type of Capitec account is suitable for a small business? Currently have a Nedbank account which is killing me with charges
June 28th, 2010 at 6:02 pm
They really only have one account type. You can link several sub accounts which I find useful for my business.
July 15th, 2010 at 8:59 pm
My children have been bugging me for years to switch from Standard Bank to Capitec. Well i wandered down to the local branch and voila … 45 minutes later it was all very painlessly done. Customer service????? Am afraid Standard Bank dont know the word and if they have ever heard of it .. dont understand the concept ..nor how to DO customer service.. Well done Capitec!!!. The Fees?? …i keep re-reading the fine print and just cant believe it is as good as it seems .. there HAS to be a catch somewhere??? or am i just cynical from being burned for so many years by Standard Bank?? It will take time to unravel my finances from Standard, but it IS already happening. Cheers Standard .. you’ve screwed me over the last 25 years .. i am so outta here. Hello Capitec, lets do some serious business together.
July 16th, 2010 at 9:36 am
Well done Mark, you should have done it years ago, it was cheaper and you had a higher interest rate on your balance.
@ Reniette, no debit fee charges sounds brilliant, but still, Capitec charges R2.75 per debit order or stop order irrespective of amount. R1 for a cash withdrawal at Pick & pay, shoprite and others (currently the special is ZERO rand per withdrawal. R3.75 at Capitec ATM and R7 at other bank ATM, irrespective of the amount drawn. all this for R4.50.
I am not sure that my service fees come to R60 per month, plus I get a great interest,
Daily Savings Account
R0 – R10 000 7.00%
R10 000 – R25 000 5.75%
R25 000 – R100 000 5.75%
R100 000 + 5.75
So my interest often beats my service fees, even if you look at just my main account, which is often left bare at the end of the month because I use the flexi save option and what ever is left I shove into my bond.
July 16th, 2010 at 3:08 pm
hey Justin … dont “rub it in” my friend :-) LOL …
i try not to think too hard about all that hard earned money i have so naively handed over to SB for “services” rendered over all these years. Could have bought a car with all that money … darn, there i go agaiin thinking about it :-)
it seems that the key selling point with Capitec is that they ofer what most of the “man in the street” people, want .. simple, cost effective, rewarding banking without too many (expensive) options. Rewarding being defined as hassle free, decent interest, minimal fees.
Well done Capitec.
July 21st, 2010 at 5:44 pm
Their savings account may be great, but one thing to be very careful of – Capitec charge some of the highest interest rates in the industry for credit.
July 21st, 2010 at 5:49 pm
@ opinionated.
I must agree with you there. Their 3 month loan has you paying at 9% interest straight. ie, take a loan for R100 000 at the end of the 3 months you must pay R100 900.
But then again, I believe in only 2 loans, Home loan and a loan to buy a car. Never take a loan on anything else.
August 28th, 2010 at 11:49 pm
I am fed up of standard im a new account customer and I received pathetic service.im banking wit capitec since ive been on college 6yrz ago and I neva had problems.i opened a check acc @ standard bank and one of there consultants transfered a R2 my god with out my permision and then I found out 2months later I owe them a R115 but I never activated the account.thats fraud and im phoning them for more then 3weeks and my score has dropped.but I went to the ncr and they will deal with them, I wil advise my friends and family to think of standard bank as the last choice
August 29th, 2010 at 5:50 pm
oops. made a mistake, my comment should read, take a R100 000 loan and at the end of three months you pay R109 000.
August 30th, 2010 at 7:28 pm
Moving to Capitec, and away from ABSA, was the best decision I ever made.!
September 1st, 2010 at 9:45 am
nice read, im so glad i came acrross this gonna close ABSA and open a capitec acc tomorrow. thanks all.
September 1st, 2010 at 6:38 pm
Sorry guys, hate to burst your bubble, but you know how Capitec keeps saying “no charges until December”? Guess what happens in January…Don’t forget, they’re just a subsidiary of good old FNB
September 1st, 2010 at 7:42 pm
Kate
the only catch is that it’s the cash withdrawal fee at the paypoints (pnp) that is waived. Other costs stay the same. Still the best value for money if you only need a transactiona/savings account.
September 2nd, 2010 at 10:17 am
@ Kate.
Hi, can you please advise where you get the information that they are a subsidary of FNB?
Currently they are running a special where, if you withdraw cash at Pick and Pay, shoprite and other selected paypoints, you pay NOTHING in charges.
In January what will happen, when I withdraw money at those paypoints I will *GASP* pay R1 per transaction… I, in the past, withdrew R4500 at a pick and pay till point and only paid R1.
If you look at my earlier post you will see the transaction rates, and remember, these are not on a sliding scale, they are per tranaction, irrespective of the amount. For example, I left a job and paid R110 000 from my retirement package into my bond, how much did this transfer cost me, well, now it would be R3.50, then it was R2.
So, maybe not the best wording from capitec, but if you listen thru the advert, you will see that they are talling about how much it costs to withdraw at an atm and that they are offering till december, free withdrawals at paypoints.
I for one, LOVE IT!!!
September 3rd, 2010 at 2:59 pm
Capitec are certainly not owned by FNB. They are owned by Arch Equity (PSG etc.), management, BEE shareholders and external shareholders.
They certainly beat the pants off the competition in terms of banking fees, but beware of the pricing of their credit products (interest and fees on loans etc.) which are very much on the higher end of the industry.
So, use them as your current account, but go elsewhere to borrow money!
September 3rd, 2010 at 5:23 pm
I have been reading all the comments with great interest (excuse the pun) as I am too also considering changing from Standard Bank after 25+ years to Capitec. Also tired of the big fees and charges ripoff.
One thing I want to know is; I work outside of SA and get paid in foreign currency (US Dollars) from Singapore. Am I able to have this salary deposited into my Capitec account (Foreign Transfer of Funds) as currently the situation with my Standard Bank account? I’m only back in SA in 10 days time and will visit my closest Capitec Branch but I am hoping that someone may be able to answer this question in the meantime.
September 4th, 2010 at 2:04 am
Hi Johnny
Forex stuff with Capitec is a major mission. If you’re making or accepting overseas payments, stick with the big banks.
September 4th, 2010 at 2:39 pm
Hi
My husband and I are finally serious about taking the step to move over to Capitec. But before we do I have one last question … We share a house with SA Home Loans and I was wondering if it is possible to have our salaries paid into our bond, then use SA Home Loans to pay our debit orders and transfer some cash to Capitec for day to day living expenses.
I actually phoned SA Homeloans but it is afterhours. Maybe someone on here knows???
Thanks for all the information and updates.