FNB, trying to get relief from foot traffic in its branches, is now offering cash back at Pick n Pay and Shoprite Checkers. This move comes as government is placing increased pressure on banks to reduce transaction and banking fees.

Business Day reported  CEO of FNB Michael Jordaan as saying: “FNB cheque cards now enable cash back at both Pick n Pay and Shoprite Checkers.” Its a big saving for  FNB gold and platinum cheque account holders, as there is only a 90 cents fee compared to a R6 per R500 fee from ATMs. I am sure Pick n Pay and Checkers will be happy with the extra FNB customers in their aisles as well.

This move follows a global trend of banks delivering services to their customers via new channels. In South Africa we have seen the Global One savings account from Capitec Bank  aimed at a segment of SA’s 15 million unbanked people; Absa launched the Transact account earlier this year targeted at customers looking for a basic and cost-effective account; and Standard Bank has been has been training people to open bank-shop accounts, which enable customers to buy products using their cellphone.

[Fin24]