The cheapest "bundle package" cheque account available, if you can limit yourself to six transactions a month, is the "fee manager" bundle from First National Bank (FNB). It is available on either the silver, gold or platinum cheque accounts and costs R45 a month.
The monthly fee for the fee manager option includes a monthly account fee as well as the fees for a set number of transactions, which could be cheque payments, debit orders, stop orders, linked account transfers, account payments, cash withdrawals at the counter or FNB ATMs, cheque or debit card payments, prepaid purchases, and your monthly account fee.
However, on the cheapest payment option of R45 a month you will be limited to six of any of these transactions for the month. If you have a high number of debit orders or transfers on your account, this option might not be best.
Your needs
The key to determining which is the best option lies in whether you will exceed the set number of transactions and, if so, what the cost of the additional transactions will be, and whether you will need to do any transactions that are not included in the package, and the cost of these.
For example, it does not make sense to opt for FNB's fee manager bundle at R45 a month if you regularly make about 25 transactions listed above each month. In this case, you would pay R45 a month plus a further R9 for each transaction that exceeds the transaction limit, bringing your total monthly fees to R216.
FNB also offers the fee manager option with a monthly fee of R85 a month for up to 12 transactions a month on these same cheque accounts, or you can pay R135 a month for up to 20 transactions.
FNB offers another option on its silver, gold and platinum cheque accounts if you can transact using electronic channels. This means you have to use ATMs, the internet or cellphone or telephone banking.
On the electronic service option (ESO), there are set fees for certain electronic transactions, but the charges for these transactions are capped at R75 a month and there is a monthly account fee of R10.
This means that for R85 a month, you can do as many of the electronic transactions listed in the table as you like. These payments include internet payments and ATM withdrawals. If the total of the charges for the actual transactions you make is less than R75, you could pay less than R85 a month, but the bank guarantees your monthly charge will never be higher than R85.
In order to get the most out of this option, you need to use only electronic channels for all your transactions and have your bank statements emailed to you.
The monthly fee of R85 does not include charges for any cash or postdated cheque deposits; cash withdrawals at other banks' ATMs or withdrawals over the counter at your bank; payments or transfers by cheque, in a branch or by bank cheque; penalty fees or special instruction fees.
James Fowle, FNB's pricing executive, says bundled pricing options have increased in popularity because they offer more value to the bank's clients.
What appears to be one of the most expensive bundle package options is Absa's recently introduced gold package, which is available to you if you earn between R120 000 and R300 000 annually.
This package will cost you R139 for 35 electronic transactions a month. These include cash withdrawals, two cash deposits, balance inquiries, mini-statements and account payments.
However, these transactions must be either at an ATM or via electronic banking (cellphone, telephone or internet banking).
The monthly charge also includes your overdraft ledger fee and an interest-free overdraft facility of up to R1 000, as well as annual fees on an Absa credit card and free life cover to the value of R15 000. According to Keith McIvor, Absa's head of products and pricing, these savings amount to R64.40 a month.
"Our research shows that the savings on the typical transactional profile of a gold customer who opts for this package would be around 50 percent a month," he says.
Transaction profile
When considering which bundled account would suit your pocket best, consider your own transaction profile. Work out how many transactions you do on average each month and establish what kind of transactions these are.
Then check what packages the different banks can offer you based on your salary and credit profile.
If you choose a bundle package account, make sure that you understand not only what the package includes but also what it excludes, so you are not faced with increased fees at the end of the month.
And don't just compare the cost of the package - some may be more expensive but, depending on the number of transactions that are included, the average cost per transaction on one package may be lower than on another, and depending on how you use your account, may be more suitable for your needs.
Home loans
If the bundle package fee that a bank offers you depends on you having a home loan with that bank, you will also have to take into account the home loan rates you can get at the other banks. It is no use saving a few rand a month on your bank account if it entails incurring many more rands in interest on your home loan each month.
Be aware that it is not difficult to switch banks. If you are dissatisfied with your own bank's service, other banks may be willing to take on your business and may even carry the costs of switching your accounts.
Also, keep your bank advised when your salary changes. If it has increased, you might find you are offered preferential interest rates on, for example, your home loan, but if it has decreased, the bank could help you look at ways to reduce your debt efficiently.