African Bank announces MyWORLD account fee adjustments

Johannesburg - African Bank has unveiled details of its Annual Pricing Review for the MyWORLD transactional account, emphasising its commitment to a strategic balance between profitability and customer affordability. As the bank steers its course towards an eventual Initial Public Offering (IPO), maintaining financial stability is imperative, while retaining a deep-rooted appreciation for the real-world impact of any pricing adjustments on its customers.

A cornerstone of the bank's financial strategy is its pricing philosophy, which has been formulated on key principles that ensure fees remain transparent and easily digestible for customers and reflecting the bank's brand promise to always remain attuned to their needs.

Additionally, the bank remains committed to solidarity pricing and trends as benchmarks to ensure offerings are competitively positioned within the market. The solidarity approach refers to a wide range of economic activities that aim to prioritise social profitability instead of purely financial profits.

African Bank is also continuing its drive to reduce losses on cost-intensive channels like ATMs, while concurrently capitalising on the recent integration with Ubank. Allied to this thinking is the continued promotion of digital banking and encouraging customer migration to digital platforms such as its App, Online banking, USSD and WhatsApp, while also considering a revised fee structure for specific ATM transactions that will easily be accessed digitally.

A key component of the African Bank Consumer Banking Strategy for FY24 is the introduction of solutions that are tightly aligned with customer segments. With the inception of monthly fees based on identified customer solutions, two viable options were debated, ultimately culminating in the decision to introduce a nominal monthly fee of R5.

The MyWORLD transactional account was enhanced to include two free withdrawals at Cash@Till retailers, the addition of five more free accounts and the opportunity for customers to earn Audacious Rewards points with every transaction.

Sibongiseni Ngundze, CEO, Consumer Banking, says: "Our carefully considered strategic revisions also carry with them a profound respect for our consumer base. While acknowledging the challenges that the small fee adjustment might present to some, the bank remains steadfast in its commitment to delivering unparalleled value.”