Capitec starts Sunday banking

[TheMightyQuin]

http://www.fin24.com/Companies/Financial-Services/Capitec-starts-Sunday-banking-20110511

Like it when business break the traditional model of how things have always been done

Gooddie gumdrops...now we can have k@k banking 7 days a week.

 

[Zenbaas]

Gooddie gumdrops...now we can have k@k banking 7 days a week.

Man but we have moaners in the thread.

 

[CyraxHB]

Well, we who bank with Capitec don't want to touch the Big 4 (except MAYBE FNB) with a 30 foot barge pole. I have a homeloan, 2 vehicle loans and a nice income so if thats low income, then I don't want to know what middle income is, and I have assisted quite a few of my friends to move to Capitec (or sometimes FNB) after being ripped off by the other banks (especially ABSA).

Actually I said most of their customers are low income but of course they will have some higher income ones too. My point is the lower the income the higher the risk when granting a loan. If the bank doesn't price for that risk through higher interest rates then it risks losing out.

In other African countries its not uncommon for a bank to charge 40% interest a year on a loan. The rationale being that even if a large portion of those people default on their loans, the bank still remains profitable. The strange thing is those products do very well out there.