Your immediate response will depend on the part of the divide you find yourself in. If it saves you the stress of having to queue up at the nearest ATM stand then it is an innovation, but if you are one of the many persons like me that have had their hard-earned money stolen via it then it could be summed as a fraud.

The idea behind the invention of the POS is hardly far from genius. Point of Sales otherwise known as POS by numerous users found its way into the Nigerian market in 2013. And by the sheer ease with which it can be used and the sheer number of POS in circulation made it a darling to Nigerians, who until the invention of the POS has had to queue up at the ATM (Automated Teller Machine) or inside the banking hall to withdraw their own money. Thus ensuring that banking halls and ATM stands were highly decongested.

However, what was a solution has now become a problem that deserves urgent attention from the Central Bank of Nigeria and all the banks in Nigeria.

History of POS

The central bank of Nigeria in 2013 introduced the POS system and agent banking as a means of achieving the cashless policy of the Federal Government of Nigeria. Until now it has largely been described by Nigerians as a live saver and data shows that since its invention that many Nigerians prefer to use the POS than visit their banks.

Why POS

The sole aim of the POS was the implementation of the cashless policy of the FG and to decongest the banking halls and the ATM stands across the country. This was easily achieved, with banks rapidly issuing POS to traders and businessmen that wished to own one. Soon it was in all the junctions, streets, and all most all the houses in the country. This reduced the distance one has to walk before he gets to an ATM or the nearest branch of his bank.

The Problem

What could have been described as a wonder of the Nigerian banking industry soon morphed into a problem that the banking sector has for long wished away and somehow hopes don’t come to the fore. However, the monster has grown horn and no longer has a hiding place. Hence, they either solve the problem or face the numerous litigations that are being microwaved in most homes across the country. Let’s not forget that in our country it takes just one person to speak up and every other person will queue behind and follow suit. The ENDSARS protest is a perfect example of that. When the country was locked down by protesters across the nation.

The problem for a long has been missing money from accounts that are all traced to a POS. the bigger problem is that banks are trying to paper the crack by hiding the POS operators from each crime perpetrated by them. With this, one is forced to believe that it is either the staff of the banks that are stealing the missing money and then ascribing it to POS or they have POS operators stealing for them. Either way, money is missing and the banks seem to have no answers or the ability to trace it.

First-Hand Experience

This is not me trying to raise a false alarm or whatever as nearly every one of us has been affected or knows someone that has been affected. The first time it happened to me was sometime in August 2021. I was sure I didn’t leave the house the whole day and had my ATM card with me all day. I didn’t get an alert until I went to withdraw the next day and found that #10,000 was missing from my account. I went to my bank (name withheld) the next day to lay a complaint and the bank simply told me it was a POS. I argued that I didn’t leave the house let alone used my ATM card. They insisted that it was a POS transaction. Being a gentleman and not willing to create a messy scene I went home and decided to let it slide. After all, it was just #10,000.

It happened again in February 2022 and as usual, I didn’t get an alert from the transaction until I paid for the drinks I bought with a POS. I paid #1000 for the drinks, got an alert of #1000 deduction but the balance showed minus #15600 which showed that another sum of #14,600 was missing and as usual I didn’t get an alert to that effect.

How will the bank respond to this I asked myself, I had to go to the bank to find an answer and it was the usual answer I got. The culprit again was a POS with an unfamiliar address. Will you provide the POS owner I asked for again? I got blatant no as an answer.

On my way back home I overhead another woman telling a neighbour how #45,000 was deducted from her account with the same lame excuse the bank has always given.

Conclusion

This is an offence that most banks are guilty of and what is even more offending is how they throw their reputation on the line to shield the POS operators that they tell us are culpable for the offence. This clearly shows that there is a conspiracy between the banks and the POS operators to continue stealing from hardworking Nigerians. And CBN silence should as well be seen as them being part of the ploy or privy to the conspiracy.

Conclusion

Until the whole issue is resolved and POS operators and conniving banks that have been aiding them brought to book everyone should snub using POS. it is better to queue up in the banking hall or the nearest ATM stand than have your money blatantly stolen by POS operators and the banks aiding them.

What I will advise many users of POS is open a particular bank account for petty cash and day to day expenditures...don't ever allow more than 100k in such account. So that the impact of damage won't be much when the fraudsters hit you. You can always use the said account for your POS and other transactions.

I have a friend who bought bread in a mini supermarket and paid via their POS...by the next morning, all the money in his account was cleared. Till today the young man has refused to own an ATM card.

As for me, I prefer transfers any time I want to make payment without cash, even when I need money from POS vendors, I still transfer money and receive cash from them instead of inserting my ATM card into their machine.

Got into the bank for transaction and an elderly woman rushed crying.



Over hundreds of thousands was withdrawn from her account.

Different alerts with the same name.

And they told her it's a POS with this name.


Was anything done? NO !


Aside blocking her account to save her remaining 19k.