Bank fees and charges often stir up conversations among Jamaicans
Why? Because fees and charges can sometimes be confusing or overwhelming and not easily understood.
But the business of banking is very costly, and because of the importance of banks to the stability of the economy, every ounce of care must be taken to ensure banks are strong and sound, so that your money is secure, and the economy remains steady.
Imagine if there were no banks tomorrow. Getting money around the country and to and from other countries would be difficult; trade would come to a halt; getting paid would be difficult and the economy would be severely challenged.
Fees help to cover the cost of business for banks.
There are some broad factors that influence these fees. These are:
Operating Costs
Banks have high operating costs, not limited to salaries, rental; costs to employ technology for efficiency, consumer convenience and security; and other security costs to ensure that savings and other customer assets are protected. Fees help us to recover some of these costs and ensure we can continue to provide reliable services to the public.
Risk Management
Banking is risky business. Providing loans, credit cards and other kinds of credit products and services come with high risks. The simple fact that we watch over and handle large volumes of money makes the business very high risk. Fees help to mitigate these risks and protect your interest.
Compliance
Because banks are so important to the economy and at the same time so prone to risks, they are heavily regulated. Maintaining compliance often requires specialised tools and people, which are costly. Fees assist to cover the costs for compliance so that we don’t have to face sanctions or shutdown, which would affect access to your money and impact economic stability.
Despite all of this, we understand that fees can add up and affect your expenses. Therefore, we want you to understand why and, where possible, how to avoid some fees, as not all fees apply to all customers, and there are many you can avoid.
Click here to learn more about banking fees, including those you don’t have to pay.
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