Why agency banking

The successful rollout of the agency banking project has also enabled the bank to develop additional digital products like credit products that will increase the array of product offerings to the Ghanaian lower-income population. The 5X5X5 project has formed the blueprint for inclusive banking by demonstrating a successful agency banking model for other Ghanaian banks.

There is already replication taking place thanks to the pioneering efforts of Fidelity and FSD Africa with 3 other banks reaching out to Fidelity for support to roll out their agency banking networks, as well as other banks showing interest. The Fidelity project also catalysed a regulatory review of agency banking laws in Ghana which resulted in an increase in the number of agents a bank can enrol. By sharing the risk, and demonstrating the success of the agency project, we have catalysed other players to copy and replicate the model.

We hope other donors and market players will recognise the potential for the agency model to reach low-income consumers, and therefore support more FSPs in other sub-Saharan countries, or even globally. Blog 27 August What is Agency Banking? Initial Successes: Project Reaches Over 1. With an agility of a fintech and support of a large group, we design tech solutions for financial institutions worldwide to provide services accessible to each of us, everywhere, anytime.

Street art is the way we talk about the digital revolution we all experience together. Street art is about constant evolution, and so are we. A branchless distribution model Facilitate easy onboarding and expand with a new distribution model. Take your branch directly to customers and provide services at their doorsteps. Agency banking is innovative, convenient, and simplified — it empowers you to reach more people and offer them better services.

Take advantage of devices secured with fingerprint accuracy — we handle all the logistics, thus speeding up the project and reducing TTM. Access to banking services is a challenge in areas without established branch networks. While banks are always looking to accelerate financial inclusion, extending the network remains costly.

Agency banking is the solution to meet the needs and challenges of this new distribution model. This approach creates a distribution model based on partnerships with existing merchant ecosystems. These third parties distribute banking services on behalf of the bank, with their proximity and local visibility the key to acquiring new clients. Our end-to-end solution comes with a complete bundle of services that provides devices for your agents.

Preconfigured with the AP front of distribution dedicated to the network of agents, along with an integrated biometric solution, embedded sensors, a storage platform, authentication and signature processes. Agency banking is a simple yet elegant approach, and it that ensures quick service for all of its end-users.

Our solution features an integrated platform for the management of partners and their networks, plus a rapid deployment cycle that reduces time to market.

Search for:. A real-time engine for position keeping and reactive decision making. Full range of functionality to support all payment types, digital and physical cards. Consumers are the ones who are the end-users of agency banking. To provide agency banking services, the banks need to have an advanced agency banking solution that facilitates seamless banking experience to the customer along with establishing smooth coordination among all the components of agency banking mentioned above.

Below are the steps as to how branchless banking works. In the first stage, the retailer gets authorized as a banking agent by his respective bank or financial institution. Once the authorization process is completed, the banking service provider creates mWallet for the banking agent. Once the mWallet is created, the banking agent deposits a prepaid balance in it. Customers can open their bank account by simply visiting the nearest banking agent with a valid ID.

To deposit money, customers have to pay cash to the banking agent. Afterward, the agent pays the same amount to the customer in the form of cash.

The banking agent can access various banking services and perform different actions via a user-friendly agency banking solution.

Agency banking is a very cost-effective way for banks and financial institutions to extend their services in the areas that have lower penetration of banks. With agency banking, the banks can kill two birds with one stone.

Second, they can increase their profitability by driving business from the areas which were previously untapped. With the help of banking agents, the banks and financial institutions can finally offer their services to the large section of unbanked and untapped customers.

This huge surge in the number of customers increases the profits of banks in many folds. Similarly, with agency banking, the banks can have a large number of agents under them which can, in turn, bring more customers to the bank and financial institutions. Banking agents are usually familiar with the clients as they have good relations with them.

Agents are aware of their repayment capacity, financial stability, and many other factors that help banks to make decisions on loan lending.

With such key insights, the banks can maintain their asset quality. Banking agents provide a human touch to the formal banking system. Users find comfort in interacting with someone they know.

With such comfort and convenience, clients feel safe to perform all the financial operations that they need. Such trust in banking agents encourages the whole community to utilize agency banking in their regions. Agency banking provides users with enhanced customer experience. Branchless banking has brought banks to the doorsteps of users. Now, instead of traveling and waiting at the bank branch for hours, the clients can simply visit their agents which are located at their proximity.