What’s the Best Savings Accounts in South Africa? A Comparison
Putting money into a savings account that is not working for you is just about as good as stuffing it under your mattress.
If you are committed to a monthly savings plan be it for a long term goal or just a security net in case of emergency – you want your bank to be working at least as hard as you are.
Below is a comparison of four savings account options from two of the major banks, Absa and FNB, comparing one no-notice withdrawal savings account and one fixed-term interest account with a 32-day notice period.
Savings Account Comparison
The Fine Print
|Requires R20 start up capital to open the account.
Limited number of free transactions per month.
Card based savings account.
Immediate access to your money.
|Tiered interest rate, which means the more money you have in your account, the higher the % interest rate.
Interest rates guidelines are subject to change:
R50 to R999.0 = 0.80%
|No administration fee.
8 free Absa ATM transactions per month:
2 free cash withdrawals per year.
After these are complete you begin to pay fees for transactions.
Transaction fees on a money builder account are notably higher than a current account.
E-statements are free.
|Save a certain amount of money every month for at least 6 months.
Need R100 to open the account.
Minimum R100 monthly deposit.
Funds are available on a 32-day notice period for 6 months.
After initial 6-month period funds are available on 10 days notice.
|Your interest rate increases for the first 6 months of your 18-month contract.
Interest rate guidelines are subject to change:
R100 to R9.900 =2.65%
|No charge for administration fees.|
FNB Savings Account
|Need to be a South African citizen over 18 and earn at least R100 000 per year to qualify.
You pay no bank fees if you keep R2 000 in your account at all times.
Can draw money on demand – no notice period.
Get a gold Visa debit card
|Tiered interest rate from 0.3% to 4.% depending on your account balance.
R0 -R1 000 = 1.10%
|No administration costs if you keep over R2 000 in your account
If you have R2 000 or below the monthly cost is R5.80
Card purchases are free
FNB ATM withdrawals are free.
32 Day Interest Plus
|Minimum deposit R100
Account balance may not fall below R100.
Can transfer or deposit money into this savings account at any time.
32-day notice period for withdrawal.
|Interest rates increase as money stays in the account.
If you do not withdraw your funds after a certain period of days your interest rate increases:
R100 – R999 =
0.5% (32 days)
R1000 – R9 999 =
1.55% (32 days)
R10 000 – R24 999
1.80% (32 days)
R25 000 – R49 999
2.05% (32 days)
R50 000 – R99 999
2.55% (32 days)
2.75% (32 days)
|Online cellphone and telephone banking free.
Cash and cheque deposits are free.
The bank fees described above were accurate and up-to-date at the time of publishing. This is by no means a definitive guide to choosing a savings account but merely a general overview of what typical savings accounts look like. We recommend you consult with a bank representative to make an informed decision when choosing a savings account that best suits your individual needs. moneysmart cannot be held responsible for any decision made based on the above information.
Please check the relevant banks’ websites for more information on their fees and rates structures.
What’s the Best Savings Accounts in South Africa? A Comparison, 5.0 out of 5 based on 1 rating
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