A bank account to offer peace of mind and security
The world of banking has changed significantly over the past decade in South Africa to meet the demands of modern lifestyles. Anyone with a bank account will tell you that doing a bank transaction today is a lot simpler than it was years ago.
Banks offer various options, so to avoid ending up with a product you find complicated or do not see benefit from can be avoided by seeking financial advice from your bank before opening an account and starting to use your bank card.
Different accounts have different benefits and charges so it is important to pinpoint which is going to suit your needs best.
What is a transactional bank account?
This is used for day-to-day purchases and other regular banking business. Most people have their salaries paid into this account and use a debit card to access their money. An added benefit of a transactional account is often low fees at ATMs or for electronic transfers.
According to the Banking Association South Africa (BASA), a bank account is a safe and useful place to keep your money.
The organisation also advocates the peace of mind you get from knowing your money is safe and secure. There is also the added benefit of convenience as you can access your money at an ATM.
Importantly too, BASA points out, is that being a bank customer gives you access to means to save and invest for your future and that of your family with options like a fixed deposit or notice deposit account.
For example, African Bank has recently launched its new MyWORLD account, an exciting option for those interested in shared banking, and it takes less than three minutes online to open an account!
Note that not only adults can open an account at a bank. Children under 18 can also open one with the consent of their parents.
5 top benefits of opening a bank account for your child who is under 18:
- Exposure to the world of finance: With their own account, children will soon learn why parents keep saying “money doesn’t grow on trees”. But, they can watch their own money grow if they work with it responsibly.
- Easy does it: At African Bank, your account can be linked to theirs, so instead of frantically scratching around for tuck money because you forgot to draw cash, you can simply make a deposit into your child’s account each week. You can also do this for special occasions or school trips they need to pay for.
- Responsible spending: When the money is gone from their own account, they will learn to understand this is because they chose to spend it. With this realisation will come more self-control.
- Feeling mature: It is a big thing to have a bank card with your name on it. Your child will feel mature and want to show you and their friends they are a responsible little bank customer.
- Better than a piggy bank: We all grew up with these but they were mostly flawed because they could be “broken into” so easily. By being a bank customer, your child has access to the wonderful world of saving. They can set goals and work towards these to afford the things they really want.
BASA reiterates the importance of being vigilant when doing any kind of banking transaction. Member banks, it assures, are continually upgrading their systems to keep customers safe from criminal scams and threats. The responsibility, however, still lies with you, the customer, to protect yourself when doing banking.
ATMs are particular hotspots for crime in South Africa.
Here are some ATM safety tips from African Bank:
- Use ATMs that are in a familiar area, preferably well-lit and busy areas.
- Observe your surroundings. Who is nearby? Who else is in the queue? Does anyone look suspicious?
- Have your card in your hand when you approach the machine.
- Look at the machine before using it – is it intact or do you suspect it has been tampered with? Do not use it if you think it has been damaged or tampered with.
- Never accept help from a stranger at an ATM and do not allow anyone to distract you.
- Never disclose your PIN to anyone and keep the keypad covered when you enter it at an ATM.
- Press cancel, take your card and go to another machine if you feel uncomfortable or if the ATM isn’t working properly.