24 August 2006
Customer feedback drives ASB's new transaction accounts
ASB is setting a new precedent in transactional banking by simplifying its range to just three accounts, one with the
lowest fees in the market. Depending on their transactional requirements, customers can get their electronic transaction
fees down to zero without needing a minimum balance.
Fees are the single biggest customer complaint for banks in New Zealand* so ASB asked customers how they prefer to
transact and in response now will move to offering only three transaction accounts.
Ross McEwan, ASB Head of Retail Banking and Marketing, says
"Customer requirements have changed significantly in the past five years. Electronic transactions are at record highs,
and the channels people are choosing have shifted markedly. Our online banking channel has grown by 24% in the past
year, electronic payments and EFTPOS both continue to increase and we're seeing a massive jump in electronic cheque
payments (40%) and electronic statements (41%)."
"We will be moving to three simple transaction accounts. ASB customers will have options to save significantly on fees,
earn interest and, depending on their transactional behaviour, pay no electronic transaction or base fees. This has to
be the best transaction account offering in the market."
Streamline Account
The revamped electronic Streamline account is for customers who prefer to transact electronically. Once they are set up,
customers can bank online, and use ASB ATMs, EFTPOS, online cheques or electronic payments for no transactions fees. If
customers choose to monitor their accounts online and stop paper statements this also eliminates the monthly base fee.
"Streamline is a great partner for Fastsaver, our savings account with high interest on all balances," says Ross.
Unlimited Account
The second account is Unlimited, for customers who prefer a combined transaction and savings account, with a good
interest rate calculated daily and unlimited transactions, all for a monthly base fee of $12. It will suit high volume
manual and electronic transactors.
Omni Account
The third transaction account is the revised Omni, suited to low volume manual and electronic transactors. With no base
fee, customers will pay a small fee for each transaction.
The new transaction accounts will be introduced from 1 October 2006, and ASB customers will be provided with details
over the next month.
*Source: Consumer Magazine's Bank Survey and University of Auckland's Bank Survey.
Fee
Unlimited
Streamline
Omni
Monthly Base Fee
$12.00
$3.00 (waived if registered for Statement Stopper)
N/a
Electronic Transaction Fees*
Free
Free
$0.40
Manual Transaction Fees**
Free
$3.00
$0.80
Credit Interest Paid
$0-$99,999.99 - 5.0% p.a.
$100,000 plus - 7.0% p.a.
N/a
N/a
* Electronic Transactions - include ATM, EFTPOS, Automatic Payments, Bill Payments, FastCheque, Direct Credits, Direct
Debits, FastNet Classic or FastPhone Transfers, TXT Banking Transfers, mPayments, FastDeposit Boxes.
** Manual Transactions - include Cheques, Staff Assisted Branch (including Business Banking Centre) and Contact Centre
transactions.
Service charges apply to all accounts. Interest rates and fees are subject to change.
ENDS