Banking Fees Comparison: Capitec, FNB, Standard Bank, and Others

whether it is a “monthly service fee,” a “Saswitch fee” because you dared to use the wrong ATM, or an “immediate payment” charge that costs more than the bread you just bought, banking fees are the silent budget killers.

Conducting a thorough banking fees comparison is one of the quickest ways to give yourself a raise. I have seen clients paying R250 a month for a “Platinum” account that offers them nothing but a shiny card, while they could get the exact same utility elsewhere for R50. Over a year, that is R2,400 wasted—enough for a decent weekend away or a solid contribution to your emergency fund.

I’m Nolan, and today we are going to stop the leakage. We are going to look at the landscape of South African banking—from the “Big Four” to the digital disruptors—and figure out which one actually deserves your hard-earned Rands. This isn’t just about finding the cheapest; it’s about finding the best value for your lifestyle.

The Landscape: How SA Banking Has Changed

Ten years ago, you had four choices. Today, the market is a war zone, and you are the prize. We have the traditional heavyweights (Standard Bank, Absa, Nedbank, FNB), the massive disruptor that became a giant (Capitec), and the new digital kids on the block (TymeBank, Bank Zero, Discovery Bank).

To make a fair banking fees comparison, you first need to understand that banks generally offer two pricing models:

1. Pay-As-You-Transact (PAYT): Low monthly fee (or zero), but you pay for every swipe, withdrawal, and transfer. (Example: Capitec, TymeBank).
2. Bundled Options: Higher monthly fee (e.g., R100+), but you get a “basket” of free transactions, free withdrawals, and often better rewards. (Example: FNB Aspire/Fusion, Standard Bank MyMo Plus).

Choosing the wrong model for your behavior is where you lose money.

The Contenders: A Closer Look

Let’s break down the major players based on typical profiles.

1. Capitec Bank (The “Global One” Approach)

Capitec changed the game by simplifying everything into one account.

• The Philosophy: Simplicity. One account, one fee structure.
• The Fees: They typically charge a low monthly admin fee (very affordable). However, they charge for digital transactions after a certain point (though app payments are usually cheap). Their real cost comes in cash withdrawals.
• Best For: The everyday South African who wants no-nonsense banking.
• The Catch: If you do a lot of immediate payments or withdraw cash frequently, the PAYT fees can stack up higher than a bundled account at a competitor.

2. FNB (First National Bank)

FNB is often seen as the tech leader, and their eBucks program is legendary.

• The Philosophy: Incentivised banking. They want you to do everything in the app.
• The Fees: Their “Fusion” and “Aspire” accounts are bundled. You pay a set fee (e.g., R99 – R200+), but you get unlimited swipes and a set number of withdrawals.
• Best For: The “maximiser.” If you are willing to learn the rules of eBucks to get 40% off flights or free Kauai smoothies, the monthly fee effectively pays for itself.
• The Catch: If you pay the R200 fee but don’t use the rewards, you are overpaying.

3. Standard Bank (The Blue Giant)

Standard Bank has fought back hard with their MyMo and MyMo Plus accounts.

• The Philosophy: Reliability and reach. They have ATMs everywhere.
• The Fees: The MyMo account is a low-cost, pay-as-you-transact option competing with Capitec. Their mid-tier Gold/Titanium accounts offer UCount rewards.
• Best For: People who want the security of Africa’s biggest bank but with modern app features. UCount is excellent for grocery rewards at Caltex/Astron and Checkers/Makro.
• The Catch: Their fee structures can be complex with many “add-ons” for notifications or overdraft management.

4. The Digital Challengers (TymeBank, Bank Zero)

• TymeBank: Zero monthly fees. You pay for what you use. Great integration with Pick n Pay Smart Shopper.
• Bank Zero: Co-founded by former FNB boss Michael Jordaan. Zero monthly fees. Very low transaction costs.
• Best For: The tech-savvy minimalist who never touches cash. If you operate entirely digitally—making use of the 7 apps every South African needs for a smoother daily life alongside your banking app—it is almost impossible to beat their price.

The “Silent Killers” in Your Bank Statement

When doing your own banking fees comparison, don’t just look at the monthly admin fee. Look at these hidden costs:

1. The “Saswitch” Fee

This is the fee for using another bank’s ATM. If you have a Standard Bank card but draw cash at an Absa ATM, you get penalized. These fees have skyrocketed (often R10 + a percentage of the amount).

• Nolan’s Tip: If you need cash, draw it at a till point (Checkers, PnP, Spar). It usually costs between R1 and R2, regardless of which bank you use.

2. Immediate Payment (RTC) Fees

You owe a friend money, and they want it “now.” You tick the “Pay & Clear Now” box.

• The Cost: Some banks charge up to R45 for this!
• The Fix: Capitec charges extremely low rates for this. FNB and others are moving toward lower fees for low values (under R3000), but check your pricing guide carefully.

3. Declined Transaction Fees

You swipe for a coffee, but you have insufficient funds.

• The Cost: The bank charges you a penalty fee for being broke. It’s cruel, but it’s standard. This can range from R5 to R9 per decline.

Rewards: The Tie-Breaker

In South Africa, bank fees can often be offset by rewards. This is a crucial part of mastering personal finance in SA—turning your necessary spending into assets.

• FNB eBucks: Generally considered the best for fuel and travel, but the rules are complicated.
• Standard Bank UCount: Great for cash-back on groceries and fuel. Simpler to earn than eBucks.
• Nedbank Greenbacks: Good integration with Amex cards, offering decent returns on spend.
• Capitec Live Better: Very simple. Cash back on specific partners and fuel. No tiers to climb.

Comparison thought process: If Bank A charges R200/month but gives you R400 back in eBucks for buying fuel you would have bought anyway, Bank A is effectively paying you R200 to bank with them. If Bank B charges R50 but gives no rewards, Bank B is actually more expensive.

How to Choose the Right Bank for YOU

Forget brand loyalty. Your grandfather banked with Standard Bank for 40 years; that doesn’t mean you have to.

Profile A: The Student / Starter (Income < R10k)

Strategy: Avoid bundled accounts. You don’t transact enough to justify R100/month.

• Look at: Capitec Global One, TymeBank, or FNB Easy PAYU.
• Goal: Keep total fees under R30/month.

Profile B: The Young Professional (Income R15k – R35k)

Strategy: You likely have debit orders, swipes, and maybe a credit card.

• Look at: Standard Bank MyMo Plus, FNB Aspire, or Capitec (if you don’t care about tier status).
• Goal: Maximise value. Ensure you get free withdrawals and electronic transfers.

Profile C: The Family Manager (Income R40k+)

Strategy: You buy a lot of groceries and fuel. Rewards are your best friend.

• Look at: FNB Fusion (Premier/Private), Standard Bank Prestige, Discovery Bank (if you are Vitality active).
• Goal: Your rewards returns should exceed your monthly bank fees.

The “Solidarity” Report

Every year, the Solidarity Research Institute publishes a massive report comparing bank charges. It is the gold standard for independent analysis. According to recent trends in these reports, Capitec and TymeBank consistently win on pure “affordability” for average users, while FNB and Standard Bank compete heavily on “value for money” for the middle-to-upper income brackets due to their bundles. You can read deeper analysis on these trends on BusinessTech or the Solidarity website.

Nolan’s Final Verdict: Switch if You Must

Many people stay with expensive banks because they think switching is a nightmare (“hassle factor”). Here is the truth: Banks have “Switch Teams” now. If you move from Nedbank to FNB (or vice versa), they will often handle moving your debit orders for you.

Don’t pay loyalty tax. If you check your statement today and see R250 in fees and you aren’t getting VIP treatment, it is time to vote with your feet.

1. Download your last 3 statements.
2. Highlight all fees.
3. Check the competitors’ pricing guides online.
4. Move.

It’s your money. Keep more of it.