DissTroy:


My thoughts went straight to Kuda, the defacto digital bank for techies and tech startups, asides Wema Bank. Kuda is a microfinance bank. If it crashes...

izzou:
So 10 million go turn 200k if the MFbank crashes?

Make i kuku dig hole for my backyard

Ballzproblem2:
online bank is the future wether una like it or not,gomoney is obviously a quack.


their interface is trash ,opay and kuda if e pass this two .

I no do

DissTroy:


Opay is actually the one you should be concerned about. In March 2021, they raised about $423 million in Seed C funding even when they weren't that profitable, considering losses from Oride the previous year.

To raise $423 million, they must gotten a $2 billion valuation or more. Unlikely since, again, their profitability couldn't have been that high. Which points to a likely cooking of books.

Are they as profitable now? We'd never know. But the first two paragraphs above served as a red flag for me not to keep large amounts with them for too long.
Or maybe overanalysing the fine details is my undoing.

DissTroy:


My thoughts went straight to Kuda, the defacto digital bank for techies and tech startups, asides Wema Bank. Kuda is a microfinance bank. If it crashes...

BlueRayDick:


YES !

If and if the bank crashes, u will get ur whopping 200k from NDIC because they cannot cough out more than what they guaranteed they will pay if the bank crashes/fails .

Dey include CBN in ur morning devotion prayers because if they fail in their duty to supervise these banks as they should , they will put u in a life-threatening position and they will only offer a terse apology and that’s it.

Ballzproblem2:
I use them transaction wise , I agree Sha one should never put all his funds in online bank.

but still one shouldn't be close minded to online banks.

They're efficient.

DissTroy:


Opay is actually the one you should be concerned about. In March 2021, they raised about $423 million in Seed C funding even when they weren't that profitable, considering losses from Oride the previous year.

To raise $423 million, they must gotten a $2 billion valuation or more. Unlikely since, again, their profitability couldn't have been that high. Which points to a likely cooking of books.

Are they as profitable now? We'd never know. But the first two paragraphs above served as a red flag for me not to keep large amounts with them for too long.
Or maybe overanalysing the fine details is my undoing.

Amigoss:


Na the free transfer,no charges when money enter your account,stamp duties,vats,SMS charges,account maintenance charges,ATM charges make am enter your eyes,no lie

obainojazz:
Bet9ja 🤦🏽‍♂️

Emaprince:
Guy 600k means you are managing life in the current Nigeria.

larride:


They pivoted fully from ride hailing platform to financial service fully.

They have gained so much unserved and underserved customers within the past 2yrs that I believe they should be making serious profit currently.

They might also go into retail banking if some rumors I hear are anything to go by.

Same way Moniepoint started with retail banking and now trying to go commercial with their Moniepoint Personal App.

larride:


Opay n Palmpay has privacy issues with the phone number as account number thing. Though it was a masterstroke to launch into the industry, it now leaves a lot of people open to crime.

Free transfer for Opay is 3 per day and Kuda is 20 (if I'm not mistaken) per month.

Opay and these digital banks offers very fast transaction. You can also check the recipient bank network before making transfer (which is a game changer) that way you rarely have transfer hanging issues.

I always advise people to have a traditional bank and use these digital banks for daily transactions.

Itsrm:


Especially for those who live in big cities, Fueling, children's school fees and house rent will easily take more than 200k from that 600 a month.

Feeding, clothing(especially for children who are still growing), car maintenance will take another 200k+

Family members, church activities, donations, can easily eat another 20-50k monthly.

There goes your 600k salary. If care is not taken, all you do is live from hand to mouth on 600k.

larride:


Most of these banks cant crashed though, especially those fully licensed by the CBN unless they go against regulations but even at that, CBN will most likely save them.

I think that's the reason why Cardoso is pushing for recapitalization of the banks.

Amigoss:


I think with time, identify verification will be used to validate account even though for a particular threshold amount,it is needed...

Amigoss:


Na the free transfer,no charges when money enter your account,stamp duties,vats,SMS charges,account maintenance charges,ATM charges make am enter your eyes,no lie

larride:
Izzou werey

Hope you don dey prepare for another weekend of L?

DissTroy:


That's the point. How were they able to raise to pivot when the hitherto ride-hailing services were not as profitable and lost cash during the Covid era? VCs must have seen the books.

Now imagine the financial statements which would have convinced VCs to invest $423 million in a market already dominated by Flutterwave, PayPal, and even Kuda at the time? Definitely not the exact financial outlook.

That's a source for concern. I raised this concern in the programming section too in February, months before PayDay faced the same problem after raising $3 million.

Underserved customers? What's the userbase expenditure and remittances to Opay? They still do free transfers and a lot of freebies, no? $423 million is a lot of money.

izzou:


I'm taking my TV to Alaba for repairs this weekend.

I'll miss our match, sadly.

See you next/another weekend!

DissTroy:


You know Kuda and Wema are like(?) the Silicon Valley Bank of the Nigerian tech ecosystem, right? If anything happens to Kuda especially (a microfinance bank), the shockwave would sweep through. Nigerian tech job cuts, services, whole startups...

Sorry I can't count on CBN to save Kuda, but it's shown no stress so far so...

Amigoss:


Na the free transfer,no charges when money enter your account,stamp duties,vats,SMS charges,account maintenance charges,ATM charges make am enter your eyes,no lie

liveLongNprospa:
Custom duty for personal ps5?

TrebleChamp:
Buyers beware, Nigerians are Nigeria's problem...

https://twitter.com/DanielRegha/status/1734520443523022904?t=IO6QGv2hUm5oSspsbitb7A&s=19

GloriousGbola:


One of those people converting 200k to 400m in 5 years and you can't figure out how.

Melvyn11:

You don't pay school fees and house rent monthly. You don't need to spend anything on donations, family members and church activities, you do those willingly because you want to. What kind of growing children will require you to buy clothes monthly? The only thing you have mentioned that are given are feeding and fueling.