POS provides financial lifeline for residents of Gwagwalada area council

 Point of Sale (POS) agents now serve as lifelines to Gwagwalada Area Council residents,  as rising digital banking reliance drives demand for convenient financial services.

A survey conducted by the News Agency of Nigeria (NAN) on Monday in Gwagwalada,  revealed that some residents depend on POS agents for routine banking activities.

NAN reports that POS operators that were  primarily known for cash withdrawals, have evolved into critical providers of financial services.

This services includes offering transfers, bill payments, airtime purchases and business transaction support within communities.

Mr Prince Dogara, a resident, described POS services as more convenient and accessible than conventional banking channels.

“I prefer using POS because it is more accessible than bank ATMs that are far from my area. Sometimes transportation to the bank costs more than the POS charges.

“People visit banks less now because most withdrawals and deposits are handled by POS agents. POS services are important in rural areas where there are few banks or ATMs,” he said.

Another resident, Ms Peace Ezekiel, said that the increasing number of POS operators reflected the growing demand for their services.

“POS agents are easily accessible. I do not have to travel all the way to the bank for urgent transactions because POS services are usually nearby.

” They have made transactions easier for people, and the growing number of operators in communities shows how important their services have become,” she said.

Mr Michael Yusuf, a POS operator at Gwagwalada market, said customer patronage had increased significantly as more people relied on agents for financial transactions.

“People now use POS services more these days because they provide easier access to cash without the stress of transportation or long queues in banks.

“POS services are no longer used only for withdrawals. Many businesses now use them for payments and sales, which has helped Nigeria’s cashless economy to grow,” he said.

Yusuf, however, identified fake transfer alerts, network disruptions and stiff competition among operators as major challenges affecting the business.

“One major challenge is the high number of POS operators, which makes it difficult to control charges. We also deal with fake transfer alerts from people trying to scam agents,” he said.

Also speaking, Mrs Adebayo Deborah, a trader in the market, said that she integrated POS services into her business during the 2023 cashless policy implementation.

“I sell cooking ingredients like spices and oil. I added POS services to my business during the 2023 cashless policy because many customers preferred transfers and card payments due to cash scarcity.

“Since I added POS services, I have attracted more customers because buyers no longer need to leave my shop to withdraw cash,” she said.

Ms Aishat Titilayo, a Customer Service Representative with a major Bank, said that the expansion of POS operations had significantly improved financial inclusion in many communities.

“People now rely more on POS agents because they are easily accessible, faster in some cases and closer to residential areas.

“The rise of POS operations has improved access to banking services in communities like Gwagwalada.

” Customers can now carry out basic transactions within their neighbourhoods, and it has also helped reduce congestion in banking halls and ATM points,” she said.

Titilayo, however, cautioned that failed transactions, fraud and the activities of unregistered operators remained concerns within the sector.

Mr Wisdom Amobi, a security personnel at a major bank, also observed that physical visits to banks had declined considerably, as customers increasingly embraced alternative banking channels.

“People visit banks less now, except when they want to deposit large amount of money or resolve issues that cannot be handled through mobile banking apps.

“Most complaints inside the banking hall are usually transaction disputes,” he said.

NAN reports that in spite of the challenges such as fraud, network failures and transaction disputes, POS operators continue to play a vital role in expanding access to financial services and supporting economic activities across communities. (NAN) (www.nannews.ng)

Edited by Dorcas Jonah/Joseph Edeh