Nedbank's will hike its prices but the revised fees continue to offer clients great value banking, according to the banking group.

Nedbank's transactional banking fees across its Retail client base will increase by an average of 6 percent from January 2010.

Nedbank said it was able to keep transaction fee increases below inflation over a three-year period.

Nedbank Private Bank fees will be increased by an average of 7.5 percent.

Even with this increase Nedbank's pricing remains competitive when compared with the market average in the private banking space, the bank said.

While inflationary pressures will also drive up service fees in Nedbank home loans by 10 percent, these fees are still well within the prescribed charges laid down by the National Credit Act.

Nedbank Retail managing executive Saks Ntombela said clients will continue to enjoy competitively priced services.

"Our products such as Mzansi, Transactor and Everyday transactional accounts now offer among the best value in the market. We continue to move into a very competitive position."

The high cost of transporting and securing cash in South Africa is an ongoing challenge and expense for the banking sector. The bank urged clients to minimise charges associated with cash handling by using cellphone, SMS, internet and self-service banking channels.

Nedbank said it continues to partner with large retailers such as Pick n Pay and Boxer Stores to offer its clients the most affordable, quick and convenient banking options.

Ntombela said: "We've made it easier for clients to understand exactly what they are paying in bank fees each month by simplifying our pricing structure.

"We continue to ensure transparency in our bank fees and costs by encouraging our clients to contact our call centre with a view to selecting the right product for their needs.

"Nedbank continues to offer great value banking by delivering on its promise to make banking more affordable, transparent and simpler ? for all South Africans."