“Feel free to move banks” – Finance Minister tells customers unhappy about services

Following complaints about new and high fees being imposed by some local commercial banks, Finance Minister Dr Ashni Singh said that customers who are unhappy with the services being provided should switch banks.

“I want to say to the citizens of Guyana that we now have several banks licensed in Guyana. And if you feel that one bank is being particularly difficult, they’re not facilitating your signing up of a bank account…[or] if you feel that one particular bank is charging you fees that you would not be charged elsewhere, feel free to move,” Dr Singh said during a recent interview with the media.

Just a few months ago, at least one local commercial bank had increased fees for a wide range of services – something that was seen as counterproductive to the Government’s push for financial inclusion and having more citizens using the banking sector for financial transactions.

According to the finance minister, while these fees are being charged within the confines of the regulatory environment, the Government would be willing to look into specific cases that are particularly oppressive.

Nevertheless, he went on to point out that the Government has created the environment to advance its vision, and this is demonstrated in the competitiveness of the local banking sector.

“We are seeing a new trend developing in Guyana now that the banks are actively competing, that if you move your business, they will charge you no fee. Previously, this was something that you only saw in the United States of America… I was frankly very happy when I saw the banks in Guyana starting to compete aggressively for the business of the Guyanese population by saying, ‘If you move your mortgage, we’re going to give you a lower interest rate, and we will charge you no fees.’ That’s a good sign because it shows that the banks have internalised the fact that they have to compete for business. They have to be competitive in the fees that they charge for services. They have to offer good quality and convenient services and efficient services. And they have to treat their customers well,” Dr Singh stated.

In alignment with the Government’s vision, local banks over the years have been incentivised to lower interest rates for mortgages and loans among a host of other inventions.

Moreover, the banks have also moved to digitise several services, including the opening of bank accounts online and expanding online banking transactions to facilitate instant transfers.

“Right now, we have the technology that persons can transfer money from one person to another or from one person to what you call person to Government, person to business, person to person, business to business. It is possible now using your respective online banking facilities, to transform money from one bank account to another, and from one bank to another instantaneously. That facility exists. And if you have online banking, I encourage you to log into your online banking and explore them,” the minister noted.

According to Singh, the convenience of using bank accounts is demonstrated through this last rollout of the $100,000 cash grant for Guyanese 18 years and older.

The first pay-out was made to nearly 49,000 Government employees who received the cash grant along with their salary via the bank, followed by almost 400,000 persons who had to register via the online portal before receiving the $100,000 directly in their bank account. The third phase catered to those persons without a bank account who got the cash grant via cheques.

“If you use all of the different means through which we process cash grants, we’re very close to 600,000 already,” Minister Singh noted.