Why Capitec isn't closing branches and ATMs

[Daniel Puchert]

Why South Africa's biggest bank isn't closing branches and ATMs

Most of South Africa's prominent brick-and-mortar banks are reducing their branch and automated teller machine (ATM) networks, except one: Capitec.

Between the end of February 2019 and 2025, the bank added 23 physical outlets and nearly 3,800 new ATMs to its footprint.

 

[neoprema]

Why South Africa's biggest bank isn't closing branches and ATMs

Most of South Africa's prominent brick-and-mortar banks are reducing their branch and automated teller machine (ATM) networks, except one: Capitec.

Between the end of February 2019 and 2025, the bank added 23 physical outlets and nearly 3,800 new ATMs to its footprint.

Because 95% of their client base draws cash for the week from their wages.

 

[deweyzeph]

Because 95% of their client base draws cash for the week from their wages.

Exactly, would be interesting to know how many of their customers actually use their cards for purchases, because every Friday the queues outside Capitec ATM's are crazy. It seems like most of their clients use their cards solely for withdrawing all their cash on payday and nothing else.

 

[Smiggles]

Because 95% of their client base draws cash for the week from their wages.

Can do it at any ATM. Any ATM is a Capitec ATM for the same fees.

 

[Quicks]

Whenever i pass a Capitec ATM there is always queue of many people. If you ask me they dont have enough ATM's.

But honestly do these people think the bank is going to steal their money and they need to withdraw it as quickly as possible or something im missing here?

 

[deweyzeph]

Whenever i pass a Capitec ATM there is always queue of many people. If you ask me they dont have enough ATM's.

But honestly do these people think the bank is going to steal their money and they need to withdraw it as quickly as possible or something im missing here?

I would guess it's because a lot of their clients spend their money in the informal economy where only cash is used.

 

[3WA]

Whenever i pass a Capitec ATM there is always queue of many people. If you ask me they dont have enough ATM's.

But honestly do these people think the bank is going to steal their money and they need to withdraw it as quickly as possible or something im missing here?

Let's say you have four kids - you have to give each one R50 on Friday so they can go make another four kids.

 

[Supervan II]

Whenever i pass a Capitec ATM there is always queue of many people. If you ask me they dont have enough ATM's.

But honestly do these people think the bank is going to steal their money and they need to withdraw it as quickly as possible or something im missing here?

Spazas & Taxis want cash only. Their SASSA only goes so far.

 

[satanboy]

 

[Ninja'd]

Spazas & Taxis want cash only. Their SASSA only goes so far.

Quite a few spazas around me have Yoco and other card machines now.

 

[neoprema]

Can do it at any ATM. Any ATM is a Capitec ATM for the same fees.

 

[Nerfherder]

Why South Africa's biggest bank isn't closing branches and ATMs

Most of South Africa's prominent brick-and-mortar banks are reducing their branch and automated teller machine (ATM) networks, except one: Capitec.

Between the end of February 2019 and 2025, the bank added 23 physical outlets and nearly 3,800 new ATMs to its footprint.

Because their customer base has a queueing fetish.

They flipping love it.

 

[Corelli]

Its when I pass a Capitec ATM and go thank goodness I dont bank with them, because there are about 60 people in a queue.

Although I dont get it. Its much cheaper to deposit cash and withdraw at the Supermarket. Its about R19.95 per R5000 at PnP and same price for about R3000 at Checkers.

But this is limited to one deposit a day. So yip I was once back 12 days to deposit R60k in cash.

Yes cash is great, but it doesnt pay you interest. And many business still prefers cards, yet they loose about 2-3% per transaction.

 

[Mirai]

Yes cash is great, but it doesnt pay you interest. And many business still prefers cards, yet they loose about 2-3% per transaction.

They lose about 2-3% per transaction. Lose means to have something leave you or not to have it anymore. Loose is when you wear your cargo pants not tightly around your waist to look like a ghetto kid after the parental discipline is also loose. The pants thing is a loss too, I suppose. Sorry for the interjection, couldn't resist.