Denis Opudo
Social media has been viewed as the new norm of the society. Many businesses and innovators are using the trend to increase their customer base. This has helped them in improving their service delivery to their customers. Bank Zero has announced its urge to launch services in South Africa. Tech investor and former FNB CEO Michael Jordaan made the announcement. This will take place in the 2nd quarter of 2018.
The group possesses a provisional license by the South African Reserve Bank. The 45% of the bank’s shares will be under the ownership of black people. The bank will make use of the mutual bank license. The mutual bank license gives track of the current social media activities. It will hence help customers by supporting and creation of financial communities.
The other name for the mutual bank is referred to as mutual saving banks. This is banks that operate without capital stock. The members are the ones with ownership rights, and they subscribe to a common fund. The bank will give a capital-efficient framework. Bank Zero will be sharing the operational cost with the customers. Michael Jordan and Yatin Narsai are the co-founders of the bank.
The two in collaboration built FNB to become one of the most innovative banks in the world. The two have been running the bank for a decade now. Legacy system of running banks is a costly system to maintain. Bank Zero is therefore on the verge of operating without the system. Twitter, Whatsapp, and Facebook will offer the bank wider connectivity.
It will be easier for the bank to get to its customers. Bank Zero will be using the current technology and offer the highest security. This will indeed help in offering security to its customer’s transactions. This is according to Narsai who will be the bank’s CEO. The move will instill the saving virtue into the South Africans. The features like chip-and-pin cards will give best services to the bank’s customers. The bank’s website underlines many important issues.
According to the website, customers can use ATM’s both internationally and locally to get their cash. The bank will not have branches. All the communications will be done through App. There will also be Email communications by the customers. The saving products owned by the customers can allow them to become shareholders. Bank Zero is amongst many banks planning to join the South African banking sector. This is planned before the end of 2018.
