development 43 it can take between 45 minutes and an hour to travel to the nearest ATM , bank branch or insurance provider .
Removing the need to travel to engage with the bank , Standard Bank has recruited local sales agents , or community bankers , from thesecommunities . This means customers can interact with familiar community members , in their own language , and away from the often intimidating traditional banking environment . These community bankers are able to open bank accounts in communities with just a hand-held mobile device , and a customer ’ s identity document and proof of residence . Standard Bank opens an estimated 18 000 new bank accounts a month . The account , known as AccessAccount , has no monthly management fee and has an affordable and simple pricing structure .
Standard Bank ’ s cellphone banking drive has been highly successful in a country where at least 83 % of the population are active cellphone users
In 10 minutes , a customer can open and activate a bank account , with a debit card that can be used at most shops with point of sale devices , and is automatically registered for cellphone banking .
This local presence extends further to actual facilities to conduct banking transactions . Standard Bank is the first bank in the country to partner with local informal retailers already operating in townships , running small businesses known as ‘ spaza ’ shops . By walking to a spaza shop , customers can use a Standard Bank ‘ AccessPoint ’ that provides cash-in ( deposit ), cash-out ( withdrawal ) and money transfer services . With over 7 000 AccessPoints across the country , this alternative banking channel has proven to be successful , reflected in the high volume of transactions and increases in cash balances at the local retailers .
The automatic registration for cellphone banking also allows customers to conduct simple transactions , such as checking balances , transferring money , purchasing goods from a spaza retailer , or buying prepaid electricity and airtime , with just their phones . Standard Bank ’ s cellphone banking drive has been highly successful in a country where at least 83 % of the population are active cellphone users .
Once customers are registered in terms of a bank account , the Standard Bank offering opens up access to a full range of financial services . In 2012 , the bank launched its AccessSave offering , a savings account that can be opened in communities without needing to go into a branch , either at the same time as an AccessAccount , as well as entirely separately from the AccessAccount . While almost 70 % of South Africans do not save formally , there are indications that close to R12 billion ( approx USD1.5 billion ) is kept ‘ under mattresses ’ in the country rather than in formal financial institutions , earning no interest and put at high risk . The AccessSave account charges no monthly fee , requires no minimum balance and offers interest from the first deposit , no matter how small . It has a seven day notice period before funds can be accessed , to allow for some level of discipline without locking funds away for an extensive time when they may be urgently needed . The account has seen massive take up , with 160 000 savings accounts opened within the first 3 months of launching . Another tailored saving offering is a group savings option ( Society Scheme Account ), which provides a safe store of value , and the benefit of interest , for the many informal savings groups that can be found in South African society .
Low income loans
Many South Africans rely on borrowing to fund an emergency or a large expense such as school fees . Worryingly , 15 % of South Africans borrow from informal sources rather than financial institutions leaving them vulnerable to possible exploitation and reckless lending practices . Standard Bank provides customers in the lower income segment with access to personalised loan facilities ( AccessLoans ) that take individual circumstance and affordability into account , and can be structured to best suit their needs . Again , loan centres ( called AccessBankingCentres ) that are set up close to the communities in which the lower income customers live or work means access is convenient . The benefit of a preexisting relationship with the bank , through a transactional account , means that the bank has a history with the customer and can tailor rates that take this history into account .
Over and above the transactional , saving and loans products , Standard Bank ’ s AccessBanking full service offering also includes access to credit card facilities , insurance products , and even a home loan , as customers ’ needs grow and evolve .
Standard Bank offers a holistic range of services .
Standard Bank is a market leader in the affordable housing market , funding one out of every three homes sold to Standard Bank offers a holistic range of services households with monthly incomes under R16 000 ( USD1 800 ). The majority of this lending goes to first-time buyers , fulfilling ambitions of owning their home . These first-time home owners also undergo borrower education to assist in managing what is likely to be their biggest debt . Property ownership can enable real long-term wealth creation .
With a growing market of over 5 million customers in the lower income segment , Standard Bank is a leading player in creating better access to a holistic range of financial services for lower income groups in South Africa . Providing customers with the full range of banking services required , convenient channels of banking , and at a cost that is affordable , means that real opportunities are being created to drive sustainable , inclusive growth and development in the country .
www . standardbank . com
Authorised financial services and registered credit provider ( NCRCP15 ) The Standard Bank of South Africa Limited ( Reg . No . 1962 / 000738 / 06 ). SBSA 146008 – 5 / 13