Should a Zimbabwean in the diaspora open a bank account in Zimbabwe? What are the benefits of holding an account in Zimbabwe when you work and live outside the country? What are the hoops you have to go through to open and hold such an account?
I will try to answer these and related questions by analysing the Steward Bank Diaspora Banking Unit.
Why Steward Bank? The reasons are straightforward and simple, really.
1.It’s Steward Bank’s PRIORITY
Firstly, Steward Bank has made diaspora banking a priority. It is the most aggressive local bank targeting Zimbabweans outside our borders. It currently has more than 8,000 diaspora accounts and this client base is expected to keep increasing.
We have seen it holding, sponsoring or outright crashing numerous events in Namibia, Botswana, South Africa, the United Kingdom and even in the United States!
2.Understanding the need
Another reason is that the founder of their parent organization lives in the diaspora and their CEO lived in the diaspora for more than 10 years. This could explain why the Diaspora Banking Unit was established almost immediately after Econet acquired the bank in 2013.
It’s a classic case of passion perhaps or maybe Strive Masiyiwa (Econet Executive Chair) and Lance Mambondiani (Steward Bank CEO) being ‘diasporans’ themselves understand the need for the service. Coincidentally (or maybe not), one of the key movers in the Diaspora Banking Unit lived in Namibia for almost 10 years!
3.Investing in the Right Relationship
The chief reason I can think of for anyone to operate a Zimbabwean account from outside is to invest in a good relationship with the bank- strictly talking about diasporans who dream of ever coming back to Zimbabwe here.
I am sure most of us have had the nasty experience of needing to borrow from a bank but realising we belong to no single bank database. The banker-customer relationship is a two-way trust highway and it is a no brainer that you need to cultivate it.
This relationship also affects your access to other third party forms of finance and credit. Everyone who is holding something you need seems to be asking for your six-month bank statement these days.
4.The Remittances Factor
An obvious advantage in having a Zimbabwean account whilst you live across the world is to do with remittances. You obviously want to send money home for various reasons.
But wait, aren’t there fully committed remittance service providers out there? The difference between those other guys and a bank is that a bank can execute specific orders through stop orders and other instruments which protect you from complicating your relationship with uncles and aunts over money that goes missing.
It is a tough economy in Zimbabwe, sometimes your brother in law cannot help it but borrow from the little amount you sent to build your home or send your daughter to school.
Ok, yes to remittances but what if someone in Zimbabwe owes you money and you are in China? What if you are renting out your Bulawayo home because you live in Pretoria? What if you are a student in Cyprus and you need mummy in Mutare to bail you out with US$100?
Surely you need people to be able to send you money. Well, in Zimbabwe it is not very easy to send money outside the country particularly now that we have serious cash shortages and Nostro complications.
Enter Steward Bank – those people who owe you (Yes if you are a student in Cyprus, mummy owes you) can simply deposit your precious money into your Diaspora Account and it will be kept safe for you or you can access it using Mastercard or some of their partnerships with bankers in your country of residence.
5.Quality Service
How about the quality of service? It must be obvious that the further one is from the provider of a service the more the quality of that service deteriorates. In this information age, however, this is no longer a true assumption.
People are visiting the bank a lot less frequently because of mobile and internet banking hence the quality of service I receive from my home in Chitungwiza is the same with that received by my aunt at her business in Mbare which is the same as the service you receive from your high-rise in New York City.
But hey, if my aunt wants personal contact with her bank she can easily do so, how about you in your high rise? Steward Bank has the innovative agency banking model for you to thank. Their Diaspora Banking Unit has more than 100 agents across the globe.
These are fellow Zimbabweans who understand your fears and apprehensions, they receive regular training and updates about say: bond notes! This model allows the bank to maintain personal relationships with its client just as they would with a regular branch.
6.Family ties with EcoCash
The biggest distinct Steward Bank advantage is its relationship with EcoCash. This allows someone in Texas to directly send money to their grandmother in Tsholotsho without going through that dubious cousin in Harare.
Steward Bank Diaspora Unit has a broad spectrum of tech-based transaction solutions on the books. This will give Zimbabweans in the diaspora more control over their financial transactions back home.
They also have solid partnerships with WorldRemit, Western Union, MoneyGram and Cassava which gives our foreign based cousins great flexibility when sending us money!
Right now the Steward Bank app allows you to pay ZESA and other services. Which means there is no incentive for the house sitter to lie about electricity being switched off because one will simply buy a ZESA token from Johannesburg without sending the sitter cash directly.
Types of Diaspora Accounts
So what kind of accounts can one hold in Zimbabwe if they are residing elsewhere? Steward Bank is permitting diasporans to open Current Accounts with a minimum deposit of USD 20.00.
All that’s required is for the client to provide proof of residence and a valid Zimbabwean ID (passport, National ID or Driver’s Licence). Holders of this account will apparently have priority consideration for mortgages if ever these become available.
Diasporans can also open Savings Accounts which have zero service charges. Student Accounts can be opened upon presentation of an offer letter from a university outside Zimbabwe and these have a minimum balance of only US$10.
There’s also the Diaspora Lite Account which is an amazing product suited to diasporans who cannot produce proof of residence. They only need to have a valid Zimbabwean ID (passport, national ID or driver’s license) to open this account. It is great that Steward Bank has included the non-regularised Zimbabwean ‘internationals’ with this product although the monthly transaction limit on this account is US$500.
Finally, what are the hoops our dear internationals have to go through to open accounts? Well, readers of Techzim can follow the link below and we’ll make sure Steward Bank opens accounts for them.
Are you in the diaspora and you need a Zimbabwean bank account? Click on the link below.
story or advertorial??
i laughed. its not april fools yet.
steward service is the worst, the master debit card even more. the queue is unimaginable. They tell everyone to check tomorrow for a notification. after hours of standing just to be told that crap!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
true true….just a bunch of hypocrites
This article is a joke. It must have been paid for because it is one sided.
Is it a paid for article or you guys couldn’t find a story to publish this morning,
Do yont u have to be in zimbabwe to open the account
does the account come with online banking access
do u have offices in the diaspora i.e south africa
Click the link at the end that says; “Sign up for a Steward Bank Account here”
Sorry G the link was not working. Everything should be fine now!
This story just shows the author never lived outside Zim and worked there.
Its simple! Outside Zim, l earn interest for any money which l put into my account. What do get for my money l put into Steward bank, massive debt thru charges.
Just know that when you do come to Zim you will NEVER withdraw that money as cash because Steward Bank don’t seem to believe in ATMs. The machines work for just a few days a month – and that includes even the machine AT THE BRANCH. They just keep a few around for decoration so that they look like a real bank. But they are NOT A REAL BANK – just a money-hostaging scheme who makes the bulk of their PROFIT from charging you to access your own money instead of from investments and lending like a REAL BANK. Steward Bank’s ACTUAL BUSINESS is transaction charges unlike most proper banks. ALWAYS KEEP THAT IN MIND! As for service: WORST BANK IN ZIMBABWE – just go to their Facebook page and see for yourself. Avoid this bank like the plague.
It’s so embarrassing to call this an article, the author couldn’t put their name on it. Now we know who is paying the rent.
There is no option to open an account just error after error on the website.
The requested page “/diasporabanking/accounts/current-account” could not be found.
The requirements are not even worth the process. I have an account with a bank in Zimbabwe and I am limited to US 50 per day regardless of the fact that cash is available in the countries we stay.
Hi Tafadzwa. Sorry for the hick up, we have fixed the link and it is working now!
Steward Bank cards are not restricted to Zimbabwean withdrawal limits outside the country because they have a fully declared diaspora unit which is why I chose them as a case study. However, if the ATM you are using has its own limit that limit will aplly and currently the Mastercard they are issuing has a limit of US$1000
Hope that helps…
Thats a lie sir, am an account holder myself and there are ridiculous limits. The system doesnt seem to be stable as well, error after error.
How can you sell something and don’t put a price to it. Whats the cost structure. Is the price so steep its even embarrassing to put it in the open. Is it a death by transaction charges scheme
“This is an article that contains referral links and we may receive some financial benefit if you decide to take action on anything listed below. We will ONLY refer stuff that we ourselves will use here at the office”
Didn’t anyone read this??
@faisal I was also wondering the same thing typical of zimbos quick to draw blood before getting the message
I have that account and its useless to be honest. I managed to withdraw twice in UK at ATM’s but after that its always a ”contact your card issuer message at the ATM’ even though there is money in the account.
After reading this article, I thought maybe they have stepped up their game.
I had opened a savings account with Steward Bank late September last year and filled all the forms for Ecocash linking & Mastercard. I was told the Ecocash will work within 48-72hrs and the Mastercard will be ready for collection after 31days which was no problem.
All started going wrong when it took me several calls to Both Ecocash and Steward bank customer care logging in my query & even visiting Econet shops & several Steward bank branches all they did was blame the other party for the lag in the linkup.
Up to now as I post this(Jan 26, 2017), my Ecocash & steward bank account aren”t linked and have been told to wait (for 48-72 hours for the linking process to be completed) for at least 6 times now by both Econet & steward bank.
Also, I deposited $10 into my account upon opening and have done a trial transaction of around $0.50 / 50c in December but when I request my balance it now says I have $ 2.35 (W.T.F ???). when I asked the bank officials what had happened to my money, they started explaining to me all the hidden charges they never mentioned when i opened my account so my question is now how can i have confidence putting more of my money in such a bank when its so good at explaining how they vaporised my money from my 0% charge 0% interest account they told me upon opening???
About my Mastercard, yesterday(Jan 25, 2017) I went to steward bank Avondale branch expecting a better service and same story, I was told my Mastercard was at my Branch(Kwame Nkurumah) and ready for collection(did I mention I waited for more than 45 mins to get this response ?)..with the energy & zest I was given by this article, I rushed to my branch to collect my Mastercard but alas, after waiting for some more 55 mins, I was told that the mastercard I applied for in Sept Last year isn’t available and I have to re-apply and wait further 21 days.
Funny Irony is: In the Kwame Nkurumah branch they have a large poster on the wall written, “we promise to serve you within 10 minutes and call Customer service on 0808 8888 if you are not happy with our service”.
First, it took me more than 50 mins standing in a queue with less than 8 people in my front to get served and second, calling the toll free number takes and additional 15 minutes or more for the customer service to pick up, then they refer you to their branches where you have been running from in the first place…..so I’m like, “is this a joke ?” and one of their workers says, “the 10 minutes on the poster mean ten minutes upon sitting on a chair interfacing with their personnel when your turn to get served comes”. Meaning they don’t even care to count how long you stand in a queue ???
In a Nutshell, Steward Bank & Econet’s advertising is superb but they really don’t offer the service they tell you, its like they say the “politically correct ” things to get customers hyped up but as soon as u enter the door you’ll find a whole different story. Very poor service indeed and am disappointed that the apologies I get from your customer services personnel aren’t sincere and they will not help me in any way to regain my lost funds, time and opportunities. As we used to say when we were young “Sorry yakaperera kuhondo”
What we want to know always and first is, how much does it cost? What are the monthly fees on the account and what are the transaction fees?