Lower interest and service
charges for TT bank customers
As competition heats up in Trinidad and Tobago's banking sector, consumers can expect to be "smiling all the way to the bank," as local financial institutions review fees and interest rate structures.
In December, all five commercial banks announced rate reductions of up to 4 percentage points and charges for some bank services have been eliminated or cut by up to 66 percent.
One of the most innovative projects came from the Royal Bank of Trinidad and Tobago Limited, which slashed service charges to about 500,000 customers. The bank also launched an education program to introduce customers to techniques to further reduce their service charges.
The programme includes a series of informative advertisements and public announcements to improve public awareness on the various "options to minimise the cost of banking services and maximise efficiency and savings."
Along with the new campaign, the bank has announced substantial
reductions in the fees and service charges of many regular banking
services in one way or another.
"Approximately 500,000 individual customers of the Bank stand
to benefit from the service charge reductions," says Helen
Drayton, Royal's Corporate Manager - Marketing and Public Relations.
The Bank has been actively monitoring customer and public sentiment
and has spent considerable time researching several areas and
types of services, the cost of which would impact on customers
the most, she adds.
"Our knowledge and financial expertise can benefit our customers
in the management of their finances. By better planning and more
efficient management of their funds, customers will have the opportunity
to save more and adequately provide for their financial well-being."
The educational series, entitled "Know Your Options" comprises a 12-point plan that explains the reductions in costs at The Royal Bank of Trinidad and Tobago Limited and provides various suggestions to avoid bank charges.
Major aspects of the Plan are the efficiencies and savings
generated through the Bank's strategic alliance with Guardian
Life of the Caribbean Limited, NEM (West Indies) Insurance Limited
(Nemwil) and BancAssurance Caribbean Limited.
Customers of any two companies in the alliance will pay less interest
on new consumer loans and receive higher interest rates on deposits.
Further, a package of benefits on insurance policies has also
been developed for customers of the other companies in the alliance.
Other customers stand to benefit from the varying fee reductions. For instance, no-book withdrawals and third party withdrawals have been reduced from TT$12 to TT$4; the minimum balance to keep an account active has been reduced from TT$20 to TT$10; certificates of interest paid, certificates of interest earned and certificates of balance have all been reduced by 20%. Customers who use their regular savings account for salary deposits will no longer pay the counter withdrawal fee once they maintain a minimum balance of TT$500. A customer who has not maintained the minimum TT$500 balance will still receive as many as twelve free withdrawals a year. The fee on safe deposit boxes has also been slashed by 10%.
Customers with Plan 55 accounts who maintain a savings balance with the bank will not have to pay fees on virtually all services, which will result in a minimum savings to them of TT$500 a year. This also applies to Royal Courtesy Service customers, who will save a minimum of TT$275 a year in service charges.
According to the Bank, every type of customer, whether individual or corporate, will receive some form of savings, as the fee reductions and the opportunities for preferential rates on loans and deposits, cover a wide range of services. Royal Bank has also given the assurance that there will be no fee increase in 1997.
Executive Time "Online" also has a printed version which is available throughout the Caribbean and some selected North American cities.
