South Africa’s Cheapest Bank Accounts in 2025: Shocking Fee Comparisons!

Banking in South Africa remains one of the most expensive in the world, with high fees disproportionately affecting low-income earners and small businesses. A recent report highlights that banking costs in South Africa can consume up to 0.4% of gross national income per capita, a stark contrast to global averages, making financial services inaccessible for many[1]. Despite advancements in technology and digital banking, nearly 19 million South Africans are either unbanked or underbanked, relying heavily on cash transactions due to the high cost of formal banking[2][5]. This financial exclusion continues perpetuate economic inequality, leaving millions unable to fully participate in the mainstream economy. For the unbanked population, the promise of affordable and accessible financial services remains difficult to attain, as traditional banks continue to prioritise profitability over inclusion.

This financial exclusion creates a ripple effect, hindering economic growth and individual opportunities. Without access to basic banking services, individuals are forced to rely on cash, making them vulnerable to theft and limiting their ability to save, build credit, or participate in online commerce. Small businesses, similarly, struggle to access loans and manage their finances efficiently, hindering their growth and potential contribution to the economy. The persistence of high banking fees exacerbates this issue, pushing even those on the fringes of the formal banking system further into financial isolation.

In this analysis I’ll break down the fee structures of major South African banks, comparing monthly charges, transaction costs, and hidden fees to reveal the most affordable options for various banking needs. We’ll analyse accounts from traditional giants like FNB and Standard Bank to innovative digital banks like TymeBank, providing a clear overview to help you navigate the complex landscape of South African banking and choose the account that best fits your budget and lifestyle. For a longer term overview of what these fees will cost you, Hippo has a breakdown I think is really good in putting the numbers into perspective[3].

South African Banking Fees 2025

Based on the latest fee structure from major banks in 2025, it’s challenging to definitively declare a single “best and cheapest” account as different accounts excel in various areas. However, we can draw some conclusions:

1. For basic, low-cost banking:
   • TymeBank.
   • FNB Easy Zero.
2. For simplicity and transparency:
   • Capitec has introduced a simplified fee structure for 2025, which may make it easier for customers to understand and manage their banking costs.

In conclusion, while there’s no one-size-fits-all solution, FNB and TymeBank appear to offer the most competitive and value-driven options across various banking needs. However, the best account for an individual will depend on their specific banking habits, income level, and desired benefits. Capitec does not make our list as the best or cheapest option primarily due to having a monthly fee and the varying degrees of how expensive or inexpensive the account will be based on the number of transactions an individual will incur on a monthly basis. It’s advisable for consumers to carefully compare the detailed fee structures and included services of different accounts to find the best fit for their personal financial situation.

South Africa Far Behind Their European Counterparts

In Europe, many digital first banks such as the very popular N26 and Revolut banks offer free accounts which include core banking functionalities with no additional or hidden fees in granularities. It’s important to highlight that while such banks can exist in the European context, it is rather disappointing that the poorest of society in South Africa do not have access to a free banking alternative that does not inundate you with fees based on granularities such as sending and receiving money instantly based on if you use the same bank or not. For context, in the Eurozone I can send and receive money instantly including on weekends. For example, if I live in Germany and send money to someone in the Netherlands, they will receive that transfer immediately. In South Africa due to banking regulations the masses are siphoned off as much as possible through “micro transaction” fees which start to add up very quickly. If the South African government and big banks are serious about bringing the unbanked into the mainstream economy then serious reform in the banking sector will be a prerequisite in achieving this goal. This is a topic I will be exploring more of in the months to come.

Banking Fees

Nedbank
ABSA
FNB
Standard Bank
Capitec
TymeBank

Additional Sources

[1] SARB
[2] The unbanked
[3] Hippo
[4] National Treasury
[5] Stellenbosch Business

Fee Category	Absa Transact	Capitec Global One	FNB Easy Zero	Nedbank MiGoals	Standard Bank MyMo	TymeBank
Monthly Account Fee	R6.50 + R20 minimum balance	R7.50	R0	R7	R7.50	R0
ATM Withdrawal (Own)	R2.60 per R100	R10 per R1000	R10 per R1000 up to R1000 thereafter R14 per R1000	R11 per R1000	R7.50 per R1000 up to R2000	R10 Per R1000
ATM Withdrawal (Other)	R10 per R1000 up to R2000 thereafter R2.60 per R100.00	R10 per R1000	R12 + R2.30 per R100	R11 + R11 per R1000	R10.50 per R1000 up to R2000	R10 per R1000
POS Purchase	R0	R0	R0	R0	R0	R0
Digital EFT (Own Bank)	R0	R1	R1	R2	R0	R0
Digital EFT (Other Bank)	Data not available	R2.00	R1	R2.00	R1.25	R0
Cash Deposit (ATM)	R2.30 per R100	R1.40 per R100	No charge up to R1000 p.m. thereafter R1.60 per R100	R2 per R100	R1.60 per R100	R7 Per R1000 at Pick n Pay/Boxer kiosks