FNB launches new product

FIRST National Bank Namibia has introduced a savings account specifically for the low-income bracket.During a meeting with Finance Minister Saara Kuugongelwa-Amadhila, FNB chief executive Lazarus Ipangelwa said the product was a response to calls from the public.

He said anyone earning between N$200 and N$1 500 a month was eligible to open up a CardWise Account. CardWise account holders can make use of ATMs and even obtain debit and credit cards.The card can also be linked to a funeral policy.”The introduction of CardWise is a direct response to the public’s call for innovative products that can enhance the lives of the majority, especially the poor,” Ipangelwa said.Even people who do casual work and cannot show payslips, such as domestic workers, can open a CardWise account, as long as they can submit a letter from their employers stating how much they earn.The FNB chief said about 45 per cent of Namibians did not have bank accounts, which implied that they did not save their money.Senior FNB manager Steve Coetzee said the bank would launch education campaigns on the importance of saving in the local media.Kuugongelwa-Amadhila said it was essential for banks to encourage the public to save, as it was the basis for national and economic development.The Minister expressed concern over the stringent conditions that often frustrated people who want to open bank accounts.She said banks should work on that and improve the plight of poor and illiterate people.But Ipangelwa pointed out that although his bank wanted to make banking more convenient, it also needed to prevent fraudulent activities.”There are some people who try and commit fraud by opening up minors’ accounts.In some cases, it will be a bid to avoid taxation,” he explained.CardWise account holders can make use of ATMs and even obtain debit and credit cards.The card can also be linked to a funeral policy.”The introduction of CardWise is a direct response to the public’s call for innovative products that can enhance the lives of the majority, especially the poor,” Ipangelwa said.Even people who do casual work and cannot show payslips, such as domestic workers, can open a CardWise account, as long as they can submit a letter from their employers stating how much they earn.The FNB chief said about 45 per cent of Namibians did not have bank accounts, which implied that they did not save their money.Senior FNB manager Steve Coetzee said the bank would launch education campaigns on the importance of saving in the local media.Kuugongelwa-Amadhila said it was essential for banks to encourage the public to save, as it was the basis for national and economic development.The Minister expressed concern over the stringent conditions that often frustrated people who want to open bank accounts.She said banks should work on that and improve the plight of poor and illiterate people.But Ipangelwa pointed out that although his bank wanted to make banking more convenient, it also needed to prevent fraudulent activities.”There are some people who try and commit fraud by opening up minors’ accounts.In some cases, it will be a bid to avoid taxation,” he explained.