Private banking offers a range of exclusive services tailored to high-net-worth individuals. This article compares two prominent private banking accounts in South Africa: the RMB Private Account and the Standard Bank Private Banking Account. We will examine their fees, benefits, and suitability to help you make an informed decision.
Fees Comparison Table
| Fee Type | RMB Private Account | Standard Bank Private Banking Account |
|---|---|---|
| Monthly Account Fee | R575 | R420 |
| Credit Card Fee | Included in monthly fee | R190 (once-off for Platinum) |
| Additional Credit Card Fee | Up to 5 additional cards – Free | R38 for Diners Credit Card |
| Cash Withdrawals | Unlimited (RMB ATM, Cash@Till) | Free up to R10,000 (Standard Bank ATM) |
| Cash Deposits | Free up to R20,000 (RMB ATM) | Free up to R10,000 (Standard Bank ATM) |
| Global Debit Card | Free | R3 per R100 for international withdrawals |
| eBucks/UCount Rewards | Included | R25 per month |
| Secondary Account Fee | 50% discount for spouse/partner | R210 |
| Instant Payments | No charge | R2.40 per R100 (min R70) |
| Branch Transactions | No charge | R80 + R3 per R100 |
| Online Transactions | No charge | Free |
| Card Purchases | No charge | Free |
Benefits of Each Account
RMB Private Account
- Fusion Account: A day-to-day bank account with a credit facility.
- Interest-Free Period: Up to 30 days on Fusion card transactions.
- Fee Rebates: Maintain a balance of R150,000 to have monthly fees waived.
- Unlimited Transactions: No charge for swipes and electronic transactions.
- Global Access: Free FNB Global Account and complimentary Global Debit Card.
- eBucks Rewards: Access to eBucks Rewards with benefits for higher levels.
- Partner Benefits: 50% discount on monthly fees for spouse/partner.
- Secure Online Purchases: Virtual card for online transactions.
- Diverse Investment Options: Tax-free accounts, retirement funds, and stockbroking services with no platform fees.
- Exclusive Metal Card: Available for clients on eBucks Level 3 and above.
Standard Bank Private Banking Account
- Platinum Credit Card: Access to travel and lifestyle benefits.
- Diners Credit Card: Available for international travel benefits at R38 per month.
- Accidental Cover: Up to R40,000 professional accidental cover.
- Free Transactions: Unlimited electronic transactions, point-of-sale cashbacks, and in-app notifications.
- UCount Rewards: Earn up to R10 back per litre of fuel and various reward points on purchases.
- Comprehensive Self-Service Banking: Internet, telephone, cellphone banking, and mobile app.
- Email and SMS Payment Confirmations: Free service to keep track of transactions.
Pros and Cons
RMB Private Account
Pros:
- Extensive fee waivers and discounts.
- Unlimited free transactions.
- Comprehensive global banking services.
- eBucks Rewards with significant benefits.
- Partner benefits with discounted fees.
Cons:
- High minimum balance requirement (R150,000).
- Monthly fee is higher compared to Standard Bank.
- Benefits heavily tied to maintaining a high account balance.
Standard Bank Private Banking Account
Pros:
- Lower monthly fee.
- Comprehensive accidental cover.
- Diverse reward system with UCount.
- Free basic electronic transactions and deposits up to R10,000.
- Multiple digital banking options.
Cons:
- Additional fees for some services (e.g., Diners Credit Card).
- Lower threshold for free transactions compared to RMB.
- International transaction fees.
Suitability Analysis
RMB Private Account
The RMB Private Account is best suited for individuals who can maintain a high account balance (R150,000 or more) to enjoy the extensive fee waivers and benefits. It is ideal for those looking for a robust global banking solution with multiple investment options and a comprehensive rewards program.
Standard Bank Private Banking Account
The Standard Bank Private Banking Account is suitable for clients seeking lower monthly fees and comprehensive coverage without the necessity of maintaining a high balance. It offers good value for those who prefer domestic banking services with a focus on digital convenience and reward systems.
Conclusion
Both the RMB Private Account and the Standard Bank Private Banking Account offer substantial benefits tailored to high-net-worth individuals. The RMB Private Account stands out for its global services, extensive fee waivers, and investment options, making it ideal for those who can maintain a high balance. On the other hand, the Standard Bank Private Banking Account offers a lower monthly fee, comprehensive electronic transaction services, and a robust reward system, making it suitable for those looking for cost-effective, digital-first banking solutions.