Johannesburg - FNB has revealed that cash-to-card migration has increased substantially among its entry-market customers earning up to R7 000, with more choosing to swipe or tap their cards instead of relying on cash.
According to Lytania Johnson, CEO of FNB’s Personal Segment, card spend among FNB Easy Zero users has surged by more than 70% year on year (YOY), and around 1 million customers in the Entry Market customer base now have virtual cards.
Johnson said FNB further notes that its customers are also adopting more cost-effective ways to access cash when needed, with volumes for its Cash@TillTM service that allows customers to get cash from participating retailers at no charge also up 73.2% for Easy Zero account holders.
"The service was launched in 2012 to provide customers with the ease and convenience of accessing cash by withdrawing at retailers that include Shoprite, Checkers, Pick n Pay, and select Spar, Boxer, and Usave stores at no charge.
"While ATMs are by far the most popular channel for cash withdrawals, Cash@TillTM significantly expands the network of cash access points for customers.
"We are encouraged by the commendable behavioural shift among our customers both on card and cash usage, and despite the continued need for cash in daily requirements such as taxi fares and shopping at local spazas, many of our Entry customers are transitioning to cards and other forms of payments for better convenience and safety.
"This allows them to enjoy greater peace of mind, knowing that their money is secure and easily accessible. More importantly, local card swipes and taps are free for our customers, and they can securely block or cancel lost or stolen cards or change their PIN using our FNB App."
"We are also seeing tremendous behavioural improvements in how our customers manage their cash needs, with many increasingly using our partner retailers for cash withdrawals in addition to our vast ATM network across the country," Johnson added.
"These trends bode well for financial inclusion because customers have many entry points into the formal financial system, but more crucially, we will be able to provide them with additional services based on our understanding of their financial and lifestyle needs.
"FNB has made a concerted effort over the years to migrate customers to safer and more convenient channels for managing their money; this includes zero-rated access to the FNB App to ensure that customers do not use their own data to access its services, as well as the ability for individual customers to purchase data and airtime through digital channels without incurring additional fees.
"FNB stated in its recent review of pricing and value propositions that an additional 140 000 entry-level and middle-income customers will benefit from its eBucks Rewards in the coming months," said Johnson.
The Star