Most of us have not heard of Direct Transact, except when it is confused with the listed Transaction Capital. But Direct Transact has nothing to do with taxis or used cars. It manages the back end and payment systems for smaller banks such as Ubank, Grindrod, Bidvest, Sasfin and African Bank. In fact, 70% of the clearing and settlement banks in SA operate off a Direct Transact chassis.

It has its origins in Saambou Bank, where Direct Transact founders Anthony Birch and Hennie Dreyer developed their knowledge of banking. Saambou founded the first stand-alone internet bank, 20Twenty, which gathered clients much more successfully than the clunky imitations from the big banks, such as Standard Bank’s Blue Bean and Absa’s Red Mouse. After the curatorship of Saambou, 20Twenty was sold to Standard Chartered but was an uneasy fit in a corporate bureaucratic bank...

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