Financial services group FNB is cutting prices on some of its accounts for 2019, along with changes to its eBucks rewards programme.
In a bid to compete with new entrants and fee-cutting in the entry level banking segment, FNB said it will be reducing the monthly fee for its Easy Account – from R5.75 to R4.95.
Cash withdrawals will also carry a standard fee of R6.00 per R1,000 (up to R2,000 per month), while sending money will do away with thresholds and carry a standard fee of R11 per transaction. Withdrawals at till points will also be reduced from R1.60, to R1.00.
For the group’s entry level bundle, Easy Smart, the monthly fee will be reduced from R65 to R59.
For middle-market accounts (Gold Cheque), the monthly fee will increase to R109 per month (from R105 before) – but there will be a large reduction for the Gold Fusion product, from R155, to the same R109 fee.
The Premier account will increase to R219 per month (with the spousal fee reduced to R149 per month, from R185 previously), while the Private Client and Wealth accounts will increase to R399 and R499 per month, respectively (no increases to spousal fees).
The bigger changes to the mid- to high- level bundled accounts come through the reduction of the value of free transactions allowed per month.
On Gold accounts, where customers currently get R5,000 worth of free withdrawals before the R1.90/R100 costs kicks in, this will now be reduced to R4,000 a month.
The same applies to deposits, where bundle customers could get R5,000 free per month, this has been reduced to R3,000, after which a R1.00/R100 fee applies.
This trend applies across all accounts, from Easy to Private Clients.
Taking on TymeBank
FNB’s free eWallet eXtra account will get a rebrand and a physical debit card, putting it in the same league as newly launched digital bank, TymeBank.
While eWallet eXtra was first to market as a wholly-digital account, it lacked a physical card for customers to transact with.
FNB told MyBroadband it plans to rebrand this account as Easy Zero later in 2019 and launch a physical card for customers.
The fees and product offering will remain the same, but the Easy Zero product will become a full bank account offering with a debit card included.
The account also now includes free prepaid airtime purchases and Automated Deposit Terminal (ADT) deposits, as well as a flat R1.00 fee for electronic transfers.
FNB’s eBucks Rewards programme has been a major behavioural driver over the last 19 years, with more than R12.3 billion worth of eBucks paid out to members, FNB said. In line with its annual review, the bank said it continues to make it easier for members to earn eBucks.
Some of the headline changes to take effect from 1 July on eBucks Rewards will include:
- No minimum eBucks required to qualify for discounts when booking flights on eBucks Travel;
- Double Up on Fuel and earn up to R8/litre back in eBucks every quarter at Engen;
- Up to 15% back in eBucks on Uber Eats orders;
- Monthly benefits with Kauai – Spend 100% on your FNB Credit Card or FNB Fusion Account and you can get a *R100 voucher to purchase any Kauai product of your choice;
- FNB Life Insurance Simplified and Customised policyholders can earn up to 40% back in eBucks;
- Earn up to 4% back in eBucks on the FNB Global Debit Card purchases;
- eBucks members will now be able to spend their eBucks to pay for Computicket events, experiences and tickets under the ‘eBucks Tickets’ tab on eBucks.com.
- Exclusive earn categories applicable to Gold customers:
- Up to 40% back in eBucks on InterCape bus rides
- Up to 15% back in eBucks on KFC purchases