Fee-free banking a reality with Woolworths Ezy Banking
Further details of account and fee structures available through Woolworths Ezy Banking, the joint venture between Woolworths and Commonwealth Bank, have been released this week.
Ezy Action Transaction Accounts will have:
* 50 free withdrawals per month,
* 5 free electronic withdrawals outside of Woolies or Big W stores per month this may be at rival ATM’s, EFTPOS or on-line,
* 1 reward point for each $1 debit transaction and 1.25 points for each $1 credit transaction at all Woolies stores
* Deposit rates will be 0.10 per cent which are the same as for accounts held and operated through bank branches. However Ezy Banking customers will receive cash management rates in deposits over $5,000 without having to shift accounts.
Ezy Rewards Mastercard will also be available with:
* $22 Annual fee
* Interest rate of 14.5%
* Interest free period of up to 55 days
Woolworths sees the fee structure as a way of passing technology benefits back to the consumer and aims at boosting in-store traffic and sales. Similarly Commonwealth Bank wants to encourage customers to move from traditional high cost branches by rewarding those who transact exclusively at one of the 640 in-store Ezy Banking outlets.
With 50 free transactions and 5 free foreign ATM withdrawals per month they are certainly going to appeal to customers looking to avoid a fee based transactional banking environment. Judging on the current level of public disapproval of banking fees it would appear that this will be of interest to just about everyone.