‘No’ to multi-currency cards - Bidvest Bank Bidvest Bank has announced that it has taken a "strategic decision" not to include a multi-currency card in its range. Currently, the bank offers cards in 14 destination currencies, all denominated in a single, specified currency. Further development of the range is imminent, but range extension will involve additional single currency options, not multi-currency cards. The bank says easy currency transfers via its internet banking platform already cater for customers with multi-currency needs. Card division head Neil Capazorio notes: “We have the systems and the banking and commercial relationships in multiple international markets, so there are no technical constraints should we wish to introduce multi-currency cards. “There is potential for conversion costs to mount up without users realising it. We’d rather not launch a product that might compromise two of the biggest selling points of our range – the ability to reduce charges while closely monitoring costs.” Multi-currency cards enable a user to load several currencies on one piece of plastic. Management of each currency component is the user’s responsibility. If one currency becomes depleted, flexible product design enables the card to automatically transact in another currency. This attracts a second layer of conversion costs. “A consumer can end up paying the hidden cost of multi-currency flexibility,” says Capazorio. “A well-informed consumer might be comfortable with extra charges. Others might not," said Neil.
Posted on: Thu, 04 Jul 2013 06:12:30 +0000
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