Not received interest as promised for fixed term investment!

My parents invested R1,190 000 at Capitec on a Fixed Savings Account for 1 year. The nominal rate was 8.10% compounded (interest on interest) and the effective rate was 8,41% compounded (interest on interest).

On maturity date 6/10/2018, they only received the amount calculated with interest @ 8,10%. They queried this amount, which was clearly incorrect, since they should have received 8,41% compounded!

Every time they queried it at Capitec, Capitec gave them some or other ficticous story. The best story so far being that the interest grows into 8,41%! Absolutely mindboggeling and crazy!

(They never withdrew any funds from this account for the entire year) so the amount should have been with an interest compounded 8.41%.

They warn investors that the interest you expect to receive at Capitec is not going to happen - rather invest at another trustworthy financial institution.

They are pensioners and EVERY CENT COUNTS! We wonder how many other people have been caught with this....

They even phoned Capitec (30 October 2018) today to inquire about the effective interest rate again and confirmed it is calculated at monthly capital plus interest every month!

for AJ Esterhuyse Mobile: **********