LOL! If u have R50 in a a8sa savings account, the service and other fees eat it up. 30 years if you had a lil bit of money in a UNITED savings account you got interest on it. Hows that! They ate up all the building societies and now offer worse services.
Yeah, I remember a time when the bank "borrowed" your money, used it to make more money, and "shared" the profit with you in the form of interest. When I was a kid my parents took me to open a savings account. It took me well over a year to break through the R100 balance (pocket money + selling stuff + washing cars + mowing the neighbour's lawn, etc). And all the way I was earning interest. And not the pissy little 1% pa or whatever they pay these days. And it didn't cost money to deposit money.
At some point during my school days I opened a standard bank account because my parents was using standard bank and and when they sent me money it cleared immediately, instead of being lost in a black hole for three days. I stopped using it when I left school - there was still some money in, but not a lot. Several years later, I worked for a company who used standard bank, and there was always a f-up on pay day for everyone who wasn't with standard. So I started using that account again. Well, the first time my salary went into it, I couldn't draw it - my account was in the red! Turns out they've been piling on all sorts of costs just for the privilege of having a savings account. I worked out, at the rates they were charging just to have an account, and the interest they were paying on that particular account at the time, one needed to have R6000 in the bank for the interest to cover the bank charges. That's *without* any transactions.
Now, for a tale of a different kind. Before I came to the UK the agent who organised my visa hooked me up with an offshore account with a local bank. It's the only type of UK bank account you can easily get without actually living and working here and having utility bills to prove you are in fact a living human being. The account in question cost £7 per month, had no other bank charges, but didn't pay much interest, but at least you got interest from the first pound onwards. One morning I wandered into the bank to get a copy of my passport certified. The lady at the counter looked at my card and asked me why I'm using this particular account. I've just never thought of changing - their service was good and I don't get nasty surprises at the end of the month. She asks if I live and work in the UK. Yes, I say. Nooooo! You can get an account that will cost you much less.
OK, I'm confused. My bank wants to save me money?
Well, they set me up with a current account. The entry level one was much cheaper per month, had a better interest rate, and a few extra benefits, including some limited travel insurance. I ended up going for an account a few stops up, which is also £7 but pays 6.5% pa, and has benefits including:
* Full international travel insurance for me and my partner
* Full AA breakdown cover
* Cellphone insurance for up to £450
and a host more that I didn't even to bother reading through because nothing really interested me. Either ways, the above alone would cost me way more than £7 per month, so I'm scoring all the way.
The only transaction fees I've ever paid was when I used my card in S.A. - £1 per transaction.
Yeah, S.A. banks are shafting us.
