Absa client who hadn't downloaded latest app caught out with default instant payment fees

Do you pick the instant payment option when you do your banking transactions? And are you aware just how much of an extra cost this entails if you add those fees up at the end of the month?

But what if you didn’t mean to pay extra for an immediate payment – but did, because your bank’s app chose that as the default?

Absa client Jeanne told Wendy Knowler this had been happening to her, without her picking it up at the time.

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Wondering why her bank charges were suddenly so high, Jeanne says she discovered that all her payments were being charged as PayShap - that's immediate, at R7.50 per transaction instead of R1.50 for the regular payment which takes a day or two to reflect in the recipient's account.

"On closer inspection, Jeanne told me, she'd now seen that the Absa bank app starts with you selecting a normal payment (charge of R1.50) and the moment she entered the amount, the default went to PayShap without any request from her."

The aggrieved consumer provided Knowler with a screenshot as proof of this.

Jeanne added that the bank has more than 5 million digitally active customers, including those doing internet banking - 'just imagine how much extra money they are reaping due to this default setting on their app!' she exclaimed.

Following up with Absa, it was discovered that the client's experience had to do with the fact that she was using an older bank app as opposed to the new one.

Jeanne was contacted by the bank and walked through using the new app, but reports that even with the touted improvements, she didn't find the fields clear at all.

The upshot is, if you are an Absa client, check which app you're using and if there are any anomalies with your chosen payment options.

Knowler is set to find out more detail, like how many of the bank's clients may not have updated their app and may have been caught out like Jeanne.

To hear more from Knowler, scroll back up to the audio player