Bank Zero announces new pricing — slashes card delivery fees
Fully digital bank Bank Zero has announced its updated fees for 2024.
While the prices of most services have been kept the same, there are a few noteworthy reductions in third-party costs and value-added services.
All the previous free core banking services remain without charge. These include no monthly account fees, charges for debit orders or card payments, or extra costs rendered on prepaid data, airtime, and electricity purchases.
On the third-party services side, the personalised Bank Zero card’s delivery and Clicks collection fees have been reduced from R119 and R69 to R99 and R59, respectively.
When it comes to value-added services, Bank Zero has slashed the cost of adding a new cheque account in half — from R100 to R50.
The previous fee of R50 for resetting the app login PIN has also been taken off its price list.
Lastly, the bank has added a R30 fee to the price list for disputing a card transaction, while removing the R50 chargeback option.
The tables below compare Bank Zero’s 2023 and 2024 pricing.
Bank Zero chair Michael Jordaan said that the bank believed its promise of zero fees was central to its brand’s unique value proposition.
“Some believed this was a gimmick, but in fact, it’s fundamental to who we are,” Jordaan said.
Unlike traditional banks, Bank Zero’s single pricing structure also applies to both individuals and small-to-medium-sized (SMBs) businesses.
“There’s one pricing structure for all our customers, and those fees that are zero will stay zero,” Jordaan said.
Bank Zero CEO Yatin Narsai said the low costs were possible due to Bank Zero building its technology from the ground up, without having to deal with the legacy systems that encumber older banks.
Yatin Narsai, Bank Zero CEO
Yatin said that Bank Zero did not make its money from customer fees but from the movement of money through the financial system.
“This provides a cash stream undiluted by the costs associated with cumbersome legacy technology and processes,” Bank Zero said.
Yatin added that the use of technology also gave Bank Zero an edge when it came to security.
In addition to biometric authentication to protect customer accounts, Bank Zero’s card uses patented technology that prevents card skimming and online card fraud.
“We can confidently confirm that no Bank Zero customer has experienced loss from card fraud,” Yatin said.
Bank Zero recently launched commercial banking services for larger enterprises that require more features than what are currently available on its accounts for individuals and SMBs.
This account includes capabilities such as:
- Downloading transaction histories into spreadsheets, making reconciliations much easier.
- The ability to set up business debit cards for staff.
- Support for Bank Zero-supplied iKhoka card machines with Xero Accounting integration.
Two noteworthy commercial banking features that will only arrive later are bulk payments and collections.
Loading ...