Bidvest Bank, a subsidiary of the Johannesburg Stock Exchange (JSE) listed industrial giant Bidvest, which has a rich heritage spanning 25 years, is expanding its range of services, yet again. The latest offering is the Bidvest Bank Attorney Trust Account.
This strategic move aligns with Bidvest Bank’s long-standing ambition of becoming a bank that caters to all its customers’ requirements. By incorporating an attorney trust account into its expanding suite of services, Bidvest Bank solidifies its position as a comprehensive financial institution that meets a wide range of client needs.
‘Our customer-centric approach has led us to provide a customised solution that is tailor-made according to each individual or business client needs and ensuring they felt seen and heard. At Bidvest Bank, we understand the need for personalised banking,’ said Herman Sambo, Executive Head: Personal and Business Banking at Bidvest Bank.
‘We have always applied a razor-sharp focus to offering the best-of-breed bespoke solutions to our business and personal banking clients.’
We have always applied a razor-sharp focus to offering the best-of-breed bespoke solutions to our business and personal banking clients.
‘This has helped us carve out a reputation as the go-to financial institution for clients who want to be treated as more than a number. The same principles apply to this new product offering,’ he said.
Attorney trust accounts are used by legal practitioners to hold money on behalf of clients, in connection with the provision of the type of legal service that is required. A good example of this is where money is received for a deposit towards the acquisition of a property.
In terms of s 86(1) of the Legal Practice Act 28 of 2014 (the LPA) every legal practitioner referred to in s 84 (1) of the LPA must operate a trust account. Every trust account practice must, in terms of s 86(2) keep a trust account at a bank with which the Legal Practitioners Fidelity Fund (the Fund) has made an arrangement as provided for in s 63(1)(g) and must deposit therein, as soon as possible after receipt thereof, money held by such practice on behalf of any person.
The interest earned on the attorney trust account vests in the Fund and Bidvest will pay the interest earned, monthly, directly to the Fund. In addition, in terms of s 86(4) of the LPA, the legal practitioner may, on the instructions of any person, open a separate trust savings account or other interest-bearing account for the purpose of investing therein any money deposited in the trust account of that legal practitioner, on behalf of such person.
Interest accrued on money deposited in terms of this section must, be paid over to such person provided that 5% of the interest accrued on money in terms of this paragraph must be paid over to the Fund and vests in the Fund. Bidvest will also pay this 5% over to the Fund monthly.
Sambo explained, ‘This account is registered with the Legal Practice Council, which allows us to take the account to the market. We also provide for the automatic transfer of interest to the Legal Practitioners’ Fidelity Fund every month. The interest rates are based on a tiered rate structure whereby account balances can attract as much as 7,65% payable monthly to account holders.’
Bidvest Bank’s best practice for managing client funds is our new Attorney Trust Account. We provide guidance to our collaborating attorneys how they can manage their client’s funds better. The account is designed to help law firms comply with trust account requirements, while earning an attractive interest rate.
Sambo added, ‘Bidvest Bank has always wanted to change the way people and businesses view financial solutions, turning every opportunity into a success. We do a lot of work with attorneys and this solution we are offering will be an attractive selling point as we look to draw even more business our way thanks to the professional and personalised manner in which we approach our clients.’
The Bidvest Bank Attorney Trust Account emerged as a response to market demand, Sambo explained, ‘We collaborate extensively with various legal firms, and it was their expressed need for a trust account that led us to introduce this new offering.’
