Kuda, a digital bank in Nigeria, has announced a change in pricing that would result in the introduction of a soft POS and the discontinuation of free monthly interbank transfers for Kuda Business accounts.
The fintech services won over the hearts of many Nigerians with their innovative features, such as free transfers. This was a big part of their mission to give all Africans on the continent access to banking services at affordable prices.
The standard interbank transfer rate varies by bank. Each transfer cost an additional 52.50 naira in 2019, the year Kuda offered the 25 free monthly transactions. In a Medium post announcing the choice, the bank stated its goal to assist customers in saving up to 15000 Naira annually.
To help ensure the reliable delivery of its services for Kuda Business, the bank has chosen to make certain carefully researched changes, according to a recent statement. The elimination of the 25 monthly free transfers is one of these modifications.
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“We created Kuda Business to empower Nigerian business people like you, and as a result, we strive to provide you with the best services possible.” We need to make certain well-considered modifications in order to continue providing you with those services in a reliable manner and to continue adding helpful features to the Kuda Business app, including our new soft POS.
On March 17, 2023, these modifications will take effect.
For transfers, Kuda business accounts will now pay a flat fee of 10 Naira. Owners of personal accounts can still use the free monthly transfers, though.
We will no longer provide 25 unlimited transfers per month for Kuda Business accounts. Regardless of the amount you send, there is a fixed fee of 10 naira for each transfer. For individual Kuda accounts, free transfers will still be possible.
SoftPOS and other features from Kuda
New and upcoming features include Sales Mode, Kuda Payroll, and business registration on the Kuda Business mobile app, which are a few of the enhancements Kuda hopes to implement. A SoftPOS capability will also be made available by the digital bank, allowing customers to accept card payments right from their smartphones.
This technology would assist Kuda Business account holders, and their customers as payments in Nigeria and the rest of the globe continue to transition to a contactless system.
Payments can be made with conventional cards and their virtual counterparts. All devices having an NFC module and Android 8.0 or higher are capable of using it, regardless of manufacturer. In addition, Visa and Mastercard have authorized the following level of security:
Methods like device attestation, asymmetric keys stored in a hardware-backed secure element, client certificates, attack prevention measures, and a needed PIN are all incorporated.
Kuda pledges to support SMEs in Nigeria to expand their business
SoftPOS business account benefits
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No hardware is required. Mobile POS machines and maintenance are free. Mobile phones can receive all payments.
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Mobility: Payments can be accepted anywhere.
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It suits small-business owners.
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Quick check-out improves the client experience.
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Soft POS uses your smartphone instead of charging terminals.
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Online upgrades eliminate the need for store servicemen and hardware repairs.
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Low service staffing needs Merchant flexibility.
The addition of these functionalities would be beneficial as Nigeria attempts to implement a tough cashless society, but Kuda has not stated when the soft POS will be made accessible to owners of business accounts.