Sanlam launches debit card linked to money market fund

Sanlam has launched an industry first: A debit card that allows clients to manage their money in an everyday account while earning the high interest rate of a money market fund.

Susan van Staden from Sanlam Personal Finance: Strategic Business Development says: "Throughout the world, debit cards are becoming the most convenient alternative to cash and cheques. However, traditional debit cards offered by banking institutions offer very low, if any, interest to clients.

"We believe that people want the liquidity of a money market account, the attractive interest rate offered by a money market account and the functionality of a bank account, and this is exactly what weve decided to give them. We can therefore confidently say that Sanlam Liquid is not just another debit card. It is an innovative new solution that links with the Sanlam Money Market Fund and it positions Sanlam as an innovative industry leader that places the needs of clients first."

When clients open a Sanlam Liquid account, their deposits (including their salary, if they choose) are invested in the Sanlam money market fund to give them better returns than an ordinary bank deposit account.

Money market funds are protected by strict collective investment regulations, and you enjoy 100% transparency on the fees you are paying.

Van Staden says the Sanlam Liquid card offers clients a day-to-day account with total liquidity and access to their money via a VISA Electron debit card, as well as a full-fledged internet transactional capability for transfers and online payments, as well viewing account balances and statements.

The Sanlam Liquid card can be used at any point of sale or ATMs where the Visa Electron sign or SASWITCH signs are displayed.  Funds can also be drawn at any ATM abroad and may be used at international POS terminals displaying the VISA Electron logo.

Since only banks may issue payment instruments and partake in settlements through the National Payment system in terms of current legislation, Rennies Bank acts as issuer of the debit card.  This however does not affect the fact that the deposit is actually in the Sanlam Money Market Fund.

Opening a Sanlam Liquid account
Van Staden says opening a Sanlam Liquid account is easy. The entire process is handled by completing an application form and faxing it to (021) 957 1012. The application form and more information can be found at sanlamliquid.co.za.

Account restrictions
The only restriction is that Sanlam Liquid card holders must have a minimum balance of R1 000 in the money market account at all times.

Costs
Monthly fee (includes internet)     R25
Saswitch ATM withdrawals            R4.85+0.85 per R100 after the 1st R100
Debit orders                        R4.50