Cape Town – High banking fees are a barrier to wider adoption of digital payments in South Africa.
GoTyme Bank Managing Executive for Card Strategy Jimmy Sounes said high banking fees remain a barrier, particularly among lower-income consumers who are sensitive to even small transaction charges.
Speaking at the BPC Next Decade Conference in Cape Town earlier today, Wednesday, 21 October 2026, Sounes said banks needed to make digital payments more affordable and accessible if they want more South Africans to move away from cash.
He highlighted GoTyme’s approach of offering instant payments of up to R5 000 free of charge, saying the bank aimed to differentiate itself in a market where customers remain concerned about the cost of everyday banking.
Sounes argued that transaction fees, even when relatively small, could discourage customers from using digital payment services regularly.
“Customers don’t want to pay fees, especially the lower-income customers who are so sensitive to cost,” he said.
Sounes said the banking industry needed to consider how pricing affected customers’ willingness to use electronic payment methods, adding that greater adoption would depend on making digital transactions more practical and affordable.
However, he cautioned against expecting South Africa to become a cashless society in the near future.
Sounes pointed to the continued reliance on cash across parts of the public transport system, including taxis, where many commuters still pay in cash.
“Will cash disappear completely in our country in the next 10 years? I don’t think so,” Sounes said.
Instead, Sounes believes banks should focus on helping more consumers become comfortable with card payments before expecting them to adopt newer digital payment methods.
“What we need to do as a bank, as an industry, is try and get the cash people into the card first,” he said.
Sounes suggested that once customers become familiar with using cards, they could gradually move towards more advanced digital payment options.
His comments highlight the challenge facing South Africa’s banking sector: expanding digital payments requires more than technology alone.
Affordability, consumer habits, and the availability of payment options in everyday settings will also shape the pace of adoption.
