If you bank with one of the four Absa banks - Allied Bank, United Bank, Trust Bank and Volkskas Bank - the name of your bank and its products and services changes on Monday. That is the day the four banks officially merge into one, to be known as Absa Bank. You may be wondering how you will be affected by the merger if you are an Absa client. Personal Finance provides the answers to your questions.
Absa Bank has decided to streamline its business to save money and to provide better products and services. The benefit to you, says the bank, is the convenience of a vast network of branches and ATMs. Where before you could only use, say a Volkskas branch, you can now do your banking at any Absa Bank.
WHAT DO I HAVE TO DO?
Sit back, relax and conduct your banking as usual - you do not have to do anything.
There are no forms to fill in or documents to collect. Your cheque book and credit cards will automatically be changed for you.
But don't burn your existing cheque book or cut up your current credit card; both are still valid.
Use all the cheques in your existing cheque book. When you collect a new one, you will be given a new-look cheque book which will reflect the name of your new cheque package.
You will automatically get your newly branded credit card when your current card expires.
If you decide to open a new cheque account or apply for a credit card you will be given the new-look cheque book or credit card.
WHAT WILL IT COST ME?
Absa Bank has promised that you will bear no extra costs. Neither the fees you pay the bank nor the interest the bank pays you on savings will change. The bank says any fee increases caused by the merger were imposed in May when fee structures were standardised across all four banks in the Absa group. Extra features may be added to the new products that the bank is launching with the merger.
WHAT HAPPENS TO MY CHEQUE BOOK?
Absa Bank will streamline the 20 cheque account packages offered by the four old banks into four. These are the Absa Silver, Absa Gold, Absa Professional and Absa Medical packages (for those with a classical professional or medical qualification).
You will be issued with a new cheque book when your existing one, plus the one held by your branch, runs out.
Account holders will be assigned an Absa Silver or Absa Gold account based on income. To qualify for the Absa Silver cheque package you need to earn R3 000 or more a month and R10 000 or more a month for the Gold Cheque package.
* If you have an Allied Dynamo, Volkskas Exelcius, United cheque account or TrustBank TrustCheque account you will be given an Absa Silver cheque account package.
* If you hold any of the following accounts, you will get an Absa Gold package: Allied Strive, Capital A or Renaissance package; United Performer, Unique or Seniors Club; TrustBank Prima, Prima Gold, Senior Trust or any of the old Volkskas brands such as the Prosperitas, Cum Laude or Connoisseur.
You will keep your account number for life and your existing overdraft facilities, interest rates and service fees will not change.
At the end of each month you will receive your usual statement on the new Absa Bank stationery.
Cheque books will be available in a choice of two formats, 40-leaf with a vertical counterfoil or a the 30-leaf carbonised version, which is ideal if you are left-handed.
If you have two cheque accounts with different banks in the Absa group, they will not be merged unless you wish it.
Your previous two accounts will be converted to two new Absa Bank accounts, which you will be able to link to one card.
WHAT WILL HAPPEN TO MY BRANCH?
All branches of Volkskas Bank, United Bank, TrustBank and Allied Bank will be renamed Absa Bank on Monday.
When you walk into your branch, the stationery will reflect the bank's new identity and logo, though the signs outside may take up to three months to change.
From Monday, there will be more than 1 000 Absa Bank outlets that you can use.
Some former branches of Volkskas Bank, United Bank, TrustBank or Allied Bank may merge, especially where they are close to each other.
If your branch closes or is replaced by an ATM and electronic banking outlet, the people you usually deal with will probably move to a new Absa branch and will serve you from there.
If not, you will be informed and the new team will introduce themselves to you.
Your track record will remain the same and you will not be treated like a new customer.
Any special arrangements you have will be honoured.
WHAT HAPPENS TO MY CREDIT CARD?
Hang onto your old Allied Bank, TrustBank, United Bank and Volkskas Bank credit cards until they expire - that's when you will receive your new Absa Bank credit card. In the meantime you can use your current credit card as usual.
Your new credit card will look different and will carry the new Absa Bank logo.
The qualifying criterion for the new Absa Bank credit card is a minimum monthly salary of R3 000.
If you hold an ABSAlute Winners credit card (for those who spend more than R1 000 a month and earn a minimum salary of R7 500 a month) you will get the new-look ABSAlute Winners card when your present card expires.
If you have been using a gold card from any of the four banks, you will receive the new Absa Bank Gold credit card.
To qualify for this card you must earn a minimum monthly salary of R10 000.
Your credit limit, budget account facility (where you can choose to pay your purchase over a number of months) and credit card number all remain the same.
You don't have to do anything to ensure that you receive your new credit card when your existing card expires. A new card will be ordered for you. All you have to do is to collect your new card when you are notified by the bank, just as you have done in the past.
A new feature in each category of credit cards is that you will be able to choose either a Visa or a MasterCard.
Visa and MasterCard are two payment systems providers. If you are using your credit card in South Africa, it makes no difference which one you choose, because both cards are widely accepted here.
Overseas, certain smaller countries prefer one card to another, but you can sort this out once you have planned your trip.
WHAT ABOUT MY OTHER CARDS?
Your current garage card and ATM card (Bankteller card) remain valid.
You will receive a new Absa Bank garage card and ATM card when your current card expires.
You don't have to fill in any application forms for new cards. As before, you continue to use your ATM card to make cash withdrawals and do other transactions at an ATM or inside the bank.
You can also use your card as a debit card wherever you see the Maestro or Bankteller symbols displayed, including foreign countries.
This means you can use your card to pay for purchases at shops and for any other services and to make a balance enquiry without making a special detour to the bank.
Any payments or cash withdrawals will automatically be debited to your account which will be instantly updated. As it is not a credit card, you cannot overdraw on your account or build up debt by using your card in this way.
Also, because you enter your secret personal identification number (PIN) at the till, you are guaranteed greater security.
WHAT ABOUT MY HOME LOAN?
All the conditions of your current home loan will apply. This means you will pay the same interest rate, you will have the same account number and the same Flexi-Reserve facilities, if you have one.
WHAT HAPPENS TO MY YOUTH ACCOUNT?
If you have a youth package offered by one of the four Absa banks, such as the Allied's Disc, Volkskas' DenimSave, United's Help-You-Go or TrustBank's TopTrust packages, hang in there and stay cool: you will get a new account next year.
The new Absa Bank youth account is MegaSave. With this new account, you will receive free banking for all cash withdrawals and deposits at Absa Banktellers and Absa Bank branches.
If you have a student loan with Absa, you can continue with your studies, secure in the knowledge that the terms and conditions under which you negotiated your loan will not be affected in any way.
If you are planning to study next year, Absa says its willing to consider your loan application.
WHAT HAPPENS TO MY SENIOR CITIZEN'S ACCOUNT?
If you are a senior citizen (over 55 years) you will automatically be assigned the new Absa Bank Gold package.
You will not lose any of the features or benefits of your Allied Renaissance account, your United Seniors Club account, your TrustBank Senior Trust Account or your Volkskas Connoisseur account.
WILL MY ACCOUNT NUMBERS CHANGE?
No. You will keep your bank account numbers after the merger. In fact, even if you move from one city to another, you keep your bank account numbers because once you are allocated a number, it's yours for life.
WHAT ABOUT MY SAVINGS AND INVESTMENTS
There are no changes to the interest rate that you receive on existing transmission, savings and investments accounts you have with one of the old Absa banks.
The statements that you receive from the new Absa Bank will reflect the new logo. The design of the savings account statements has been changed to be more user friendly.
A new range of investment and savings accounts will be introduced and your existing account will be converted to one of the new Absa Bank accounts early next year.
FOR ADVICE AND INFORMATION DIAL ABSA BANK'S TOLL FREE NUMBER: 0800-41-41-41.