The high cost of installing brick-and-mortar banks
The high cost of deploying conventional banking to the bottom of the pyramid has kept banks from being able to cater to the poor.
With agent networks, the cost of providing Financial Services dramatically decreases. The mobile phone brings Mobile Financial Services directly to the fingertips of the end-user and the agent network creates unprecedented proximity between the poor and the formal banking sector.
By using TagPay, an existing bank increases the number of services it can offer to customers and increases its potential customer base dramatically.
The importance of proximity
The cost of setting up a network of agents compared to building brick-and-mortar branches is minimal. An agent is trained to administer the bank's Mobile Financial Services. With only a small stand and a terminal, the agent can easily reach the end-user. The proximity between the agent and the end-user is key for successfully including end-user in the formal banking economy.
With TagPay, an agent can easily and securely enroll an end-user. The TagPay administrator can set the required levels of KYC and control the process.
Agent-enabled branchless banking services typically include: Customer registration, cash-in (accepting customer cash deposits to load accounts), cash-out (customer withdraws cash from his or her account), bill payment, airtime top-up, account management, and cash remittances. Anyone with a cell phone can conveniently and securely access agent services.
The TagPay platform manages a complete agent network
Agents can be segmented into groups or hierarchies and attributed roles and transaction limits based on the group they belong to. TagPay has the functions required to manage agent commissions.