Kuda to introduce ‘SoftPOS’, cancels 25 free monthly transfers for business accounts

Nigeria’s digital bank, Kuda, has announced a change in prices that will see the introduction of a softPOS and an end to its free monthly interbank transfers for Kuda Business accounts.

The fintech services won the hearts of many Nigerians with several innovative features, including free transfers to key into its mission of giving all Africans on the continent access to banking services at affordable prices.

Normal interbank transfer rates vary depending on the bank. In 2019, when Kuda introduced the 25 free monthly transfers, each cost an extra 52.50 naira. In a medium post announcing the decision, the bank expressed their desire to help customers save up to 15000 Naira annually.

However, a recent statement explains that the bank has decided to make some carefully considered changes to help deliver its services for Kuda Business reliably. One of these changes includes terminating 25 monthly free transfers.

“We built Kuda Business to support Nigerian entrepreneurs like you, and that means giving you the best services we can. To keep giving you those services reliably and adding useful features like our new softPOS to the Kuda Business app, we need to make some carefully considered changes.

These changes will apply from March 17, 2023.

Read also: Kuda expands to the UK with launch of new services

Kuda business accounts will now pay a flat rate of 10 Naira for every transfer. However, holders of personal accounts will continue to enjoy the free monthly transfers.

Kuda to introduce softPOS and other features

Some changes Kuda seeks to introduce include new and upcoming features like Sales Mode, Kuda Payroll, and business registration on the Kuda Business mobile app. The digital bank will also introduce a SoftPOS feature enabling users to receive card payments directly with their mobile phones.

Thank you for using Kuda Business and please, look out for new and upcoming features, including softPOS (for receiving card, USSD and Pay with Kuda payments on your phone), Sales Mode, business registration on the Kuda Business mobile app, and Kuda Payroll, the statement reads.

What is SoftPOS

Soft POS (Software Point of Sale) is an innovative technology allowing businesses to accept card payments directly on their phone or device without additional software. In simpler terms. The Soft POS feature converts your regular smartphone or tablet into a secure payment terminal and enables the acceptance of EMV contactless cards.

As payments in Nigeria and the rest of the world continue to move into a highly contactless system, this feature would benefit Kuda Business account holders and their customers.

Payments can be made with a plastic card and virtual equivalents. All phones with an NFC module and Android 8.0 or higher can use it, independent of the manufacturer. Moreover, Visa and Mastercard have authorised the following security level: Device attestation, asymmetric keys stored in a hardware-backed secure element, client certificates, attack prevention measures, and PIN required are all built-in methods.

Advantages for Business account owners with SoftPOS

• ·No extra hardware needed: Users do not have to purchase a mobile POS machine nor pay maintenance costs. All payments can be received with a suitable mobile phone
• Mobility: Payments can be received easily at any location and on the go
• It is ideal for small business owners
• It enables quick check-out thereby improving customer experience
• Soft POS leverages the power of your existing smartphone, whereas traditional terminals require charging.
• There is no need to send servicemen to stores or repair hardware pieces because upgrades are managed online.
• · Very low service staffing requirements
• · High flexibility for the Merchant

While these features would be welcome as Nigeria makes a challenging move to a completely cashless policy, Kuda has not disclosed when the softPOS would be available to its business account owners.