The National – Thursday, December 30, 2010
WHEN I get my bank statement, I noticed I am being charged “service fees”.
Fed up, I decided to call BSP customer services and I want to share what I was told.
For every Eftpos transaction we make, BSP charges the card user K1.
On top of that, we are charged K3 monthly as “service fee”.
This means if you were to conduct 10 Eftpos transactions a month, you will be charged K13.
So if BSP claims it has 50,000 loyal customers with savings accounts, imagine the amount of service fees it collects from customers.
Let’s say each of the 50,000 customers makes seven Eftpos transactions every month.
That comes to K10 (K7 + K3 for monthly service fees) per customer.
Multiply that with 50,000 customers and BSP makes a cool K500,000 without breaking a single sweat each month.
While I do not mind the K3 service fee, I think the K1 Eftpos charge is unreasonable.
But that’s not the end of the story.
If you are going to receive money via Western Union, you can lose up to K50 through exchange rates.
A couple of years ago, BSP used to show the latest exchange rates on its electronic display unit.
Today, it has been switched off and many customers do not know what the latest rates are.
I have also noticed that BSP gives you less kina if you are buying the kina and offers ridiculous rates if you are selling the kina.
Either way, it is a lose-lose situation for BSP customers.
Lastly, it gives me peanuts as interest, K1.21, while I am charged 10 times more for service fees.