Everything you need to know about reducing your bank charges!
We consider it our obligation to inform you about how you can keep your bank charges to a minimum. However, if you want to discuss or obtain information about your rights, obligations and banking transactions it is better to talk to your Personal Banker who will always be there to help you plan the most suitable banking solution that reflects your needs.
What does the term ‘bank charges’ mean?
When we talk about bank charges we mean any costs you are asked to pay to the Bank in the form of interest or expenses, or fees for a transaction, loan, deposit, facility or other services.
How can I avoid bank charges and expenses?
The main ways to avoid additional charges and expenses are:
- Select the right product (type of loan, for example) that suits your needs and requirements so that you know from the outset that you will be able to repay it without problems.
- Properly plan your loan repayments to match your financial capabilities to avoid any delay in paying instalments beyond the date you agreed with your Personal Banker.
- Opt to pay your debts automatically by giving a standing order to the Bank allowing you to rest assured that there will be no additional charges because you neglected to pay instalments.
- Use alternative channels. For example, you can pay utility bills, obtain new cheque books or itemised statements using Internet Banking, or can use the large number of Bank of Cyprus ATMs to withdraw cash. Using alternative channels also saves having to queue in-branch and the time it takes to find a parking space, travel costs, and so on. Alternative channels ensure simple, quick service whenever you want, at lower cost, with absolute safety and speed.
- Use the web-based Cisco Trading platform for stock exchange transactions.
How I can use banking products more smartly?
Obtain regular updates from your Personal Banker about all new products, special offers and the benefits our schemes offer. You can also smartly manage your day-to-day transactions using card discount schemes like AMEX Selects, for example, which offers you discounts at restaurants and shops, or benefit from the interest-free use of money for 45 days provided that at the end of that period you opt to repay in full the entire amount owed.
When do I have to pay my instalment to avoid additional charges?
Make sure you don’t delay paying instalments after the date you have agreed with the Bank. That means that if your contract says that the instalment is payable on the 20th of each month but you get paid on the 30th of the month, you will be charged a fixed fee each month and additional interest on the amount you have delayed in paying.
In this case, contact your Personal Banker to change the instalment payment date to the 30th of each month.
What happens if I have difficulty in repaying my debts for a considerable time?
In you cannot keep up with your instalment repayment schedule because of some personal problem that changes your financial situation, contact your Personal Banker in good time and reach a new agreement which suits your needs.
How can I reduce my overall instalments to the Bank?
The first simple step is to ‘tidy up’ your finances so that you benefit from an overall lower instalment by selecting the right product for you. For example, if you have many small loans and cards with high overall instalments, it is in your interest to take out a larger loan to ensure better control and a lower overall instalment. You could also reduce the level of existing instalments if you increase the repayment period. Discuss your existing loans with your Personal Banker and learn about new products released so that together you can select banking solutions tailored to your financial situation.
Explanation of banking terms:
What is the Annual Percentage Rate (APR)?
The APR is the total cost of borrowing for the consumer, expressed as an annual percentage on the loan offered. The APR includes all loan cost factors (including interest and all charges, which consumers have to pay).
The APR is the best tool available since it includes all loan costs and helps you have a better picture when comparing various schemes from the Bank or other banks.
If you have any more questions, please contact your personal banker.