Capitec - Yay or Nay?

[Ecco]

I havent read this thread. But did you know you can bank for free at FNB? No monthly charges. All you need to do is keep R9k in your account.

Just saying.

 

[MKFrost]

I havent read this thread. But did you know you can bank for free at FNB? No monthly charges. All you need to do is keep R9k in your account.

Just saying.

If you put that in at Capitec you will be paid around R40 [interest] a month after service fees...

 

[Ecco]

If you put that in at Capitec you will be paid around R40 [interest] a month after service fees...

Yup, you probably would.

Only thing from FNB to cover the R40 is earning ebucks. I am not sure about the other freebies on this pricing plan - i think you will get most of them, however whoever is interested should go check up.

 

[techead]

right... so 37 cents on Capitec per transaction SMS. Both incoming and outgoing money. Not cool, but I guess I shouldn't get greedy

Im just used to free SMS notifications lol

R3.33

 

[MKFrost]

right... so 37 cents on Capitec per transaction SMS. Both incoming and outgoing money. Not cool, but I guess I shouldn't get greedy

Im just used to free SMS notifications lol

You can turn it off or like me set it for amounts exceeding a R1,000 only.

 

[blunomore]

I have not read the entire thread, but does anyone know whether Capitec has started issuing credit cards, or are moving in that direction ?

 

[MKFrost]

I have not read the entire thread, but does anyone know whether Capitec has started issuing credit cards, or are moving in that direction ?

They said that they are looking into it but afaik nothing announced to date.

 

[techead]

someone mentioned something about capitec and their unsecured loans but I dont understand the significance?

 

[MrR]

I have not read the entire thread, but does anyone know whether Capitec has started issuing credit cards, or are moving in that direction ?

IIRC they (PR and previous CEO) said Q3 or Q4 of 2014.

 

[blunomore]

IIRC they (PR and previous CEO) said Q3 or Q4 of 2014.

Thanks

 

[blunomore]

someone mentioned something about capitec and their unsecured loans but I dont understand the significance?

No collateral required?

 

[MrR]

right... so 37 cents on Capitec per transaction SMS. Both incoming and outgoing money. Not cool, but I guess I shouldn't get greedy

Im just used to free SMS notifications lol

R3.33

Set your limits to something higher. If someone is gonna steal your money, then they'll try withdraw everything in one go. Just don't disable it, as it is part of their security mechanism for fraud (stop-loss) prevention. Set different limits on debits/credits as well.

 

[MrR]

No collateral required?

i.e. unsecured lending
But it comes at the cost of much higher interest rates.

I highly doubt they'll go secured lending route one day. Instead of a bond with your property/vehicle as collateral, you'll be getting a R1mil cash loan at a slightly higher interest rate, but they have a long way to go before getting there (SARB and NCR requirements and liquidity requirements).

 

[MKFrost]

someone mentioned something about capitec and their unsecured loans but I dont understand the significance?

Said that its a risk factor as it can bring the bank down as is the case now with African Bank who is battling due to debtors defaulting in their droves and most of that debt is also unsecured i.e. nothing the bank can lay their hands on.

 

[Flip-Flop]

Said that its a risk factor as it can bring the bank down as is the case now with African Bank who is battling due to debtors defaulting in their droves and most of that debt is also unsecured i.e. nothing the bank can lay their hands on.

Capitec and African Bank cant be compared at face value I think. Capitec is much more diversified.

 

[MKFrost]

Capitec and African Bank cant be compared at face value I think. Capitec is much more diversified.

Agree, I just made the comparison to explain the concern about unsecured debt. With that said, Capitec's unsecured lending did raise some alarms a while back until they reined it in a bit. So even if more diversified this still posed a risk.

 

[supersunbird]

If you look at a company like Capitec we think that’s a high quality company, it’s got a great track record, we think it’s got a big competitive advantage against its peers and more importantly for us we think it’s a very well capitalised bank, it’s actually the only Basel III compliant bank in the country. Its capital adequacy ratios, which is a measure of capital strength, are significantly higher than its other peers. So we think there’s going to be potential distress in the unsecured lending market but we think Capitec is well capitalised to be able to deal with those stresses.

From: http://www.moneyweb.co.za/moneyweb-special-report/greg-hopkins--chief-investment-officer-psg-asset-m

Basel III? Pretty impressive.

 

[medicnick83]

I was thinking about opening a Capitec account today just for a place to put my savings money for their apparently good interest rates.
For just that - does Capitec get a YAY or NAY?

 

[ld13]

I was thinking about opening a Capitec account today just for a place to put my savings money for their apparently good interest rates.
For just that - does Capitec get a YAY or NAY?

Generally they get an auto-YAY. Do you want access to your $$$? How much $$$ is it? R10/100K?

 

[yebocan]

I was thinking about opening a Capitec account today just for a place to put my savings money for their apparently good interest rates.
For just that - does Capitec get a YAY or NAY?

Yay from me, moving over to them, was the best decision for 2013 for me....way less bank charges and good interest rates!