In recent times, many Nigerians have sought digital banks as an alternative to traditional banks. Instead of going to the bank to perform transactions, digital banks make it easy for customers to perform all their banking transactions using the bank apps installed on their smartphones or PC. In addition, digital banks charge little to no fee on maintenance and transfers, unlike traditional banks which are characterised by numerous bank charges and hidden fees. Does the concept of digital banks sound appealing to you that you consider having an account with a leading digital bank in Nigeria? Read on as we discuss the top 5 digital banks in Nigeria so you can make an informed decision on what best suits you.
The top 5 digital banks in Nigeria would be discussed below:
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Kuda Bank
With over 1.4 million customers, Kuda Bank is one of the leading digital banks in Nigeria. This digital bank is licensed by the Central Bank of Nigeria and customers’ deposits are protected by the Nigerian Deposit Insurance Corporation (NDIC).
With the Kuda Bank app which can be downloaded from Google Play Store and the Apple App Store, customers can enjoy I banking experience without ever stepping foot inside a physical bank branch. With the Kuda app, Nigerians who are 16 years and older can easily open an account with Kuda Bank using BVN, email address, and phone number.
Kuda Bank offers both personal and business banking products without charging their customers any monthly maintenance fees or hidden fees. Account holders with this digital bank get to enjoy 25 free domestic transfers, free ATM withdrawals, short-term overdraft loans, and up to 15% interest on savings, among several other benefits.
Kuda Bank’s services to account holders are generally high-quality, however, there are a few drawbacks such as the 0.3% interest rate on overdraft loans and the lack of Google Pay or Apple Pay integration. Aside from these drawbacks, Kuda Bank is a digital bank Nigerians would find to be beneficial.
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VBank
VBank is another leading digital bank that is worthy of a spot on our list of the top 5 digital banks in Nigeria. Powered by VFD, a Lagos-based Microfinance Bank, the VBank offers numerous personal and business banking solutions
that customers can access wherever they might be, by using the VBank app installed on an Android or iOS device with healthy internet.
Personal account holders of this digital bank get to enjoy a free Verve debit card, access to loans and interest-accruing savings accounts, and advanced analytics and budgeting features. All these can be done using the VBank app or USSD code.
There are other amazing features for personal account holders such as joint accounts, tap-to-pay, and WhatsApp banking. With VBank, account holders can earn extra income from the community-based referral system known as Veelage (Veelage isn’t limited to personal accounts, though)
The VBank business banking solutions provide businesses with several amazing services such as overdraft loans, LPO financing, and Invoice Discounting. Businesses can also make payments with ease, pay bills, and several other perks.
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Rubies
Rubies is a fully digital bank that offers an array of banking solutions targeted to meet the needs of millennials, SMEs, young professionals, and quasi-financial institutions. The zero-fee banking offered by Rubies is among the numerous features that make it stand out. It is also possible to earn extra income as an account holder with Rubies by onboarding new banking customers using a unique link. Whenever these new customers perform financial transactions on the Rubies app, their referrer earns some amount of money.
With Rubies, customers can personalize their bank account numbers however they deem fit. This digital bank also provides customers with free debit cards that are delivered to their doorsteps without paying any delivery fee. Money requests and proximity transfers are some additional features of Rubies.
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Sparkle
Sparkle is one of the leading digital banks in Nigeria today. There are several banking solutions available to individuals and businesses, including sending money, requesting money, splitting bills, bill payments, tracking spending, and making automated payments, among others.
With just Bank Verification Number (BVN), email address, and active phone number, any Nigerian above 18 years can open a Sparkle bank account by installing the app from App Store or Play Store and following the registration prompts. The Sparkle app is equipped with several features which combine to give users quality financial services.
The Payroll feature is a Sparkle feature that allows business account holders to make bulk payments to employees, pay taxes digitally, and review and update employees’ profiles, all from the app. In addition to the features available for business owners, the Sparkle Business feature makes it easy for business names to be registered with the Corporate Affairs Commission (CAC) and the Tax Identification Number (TIN) to be obtained with ease.
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Mintyn Digital Bank
Mintyn Digital Bank is one of the best digital banks that many Nigerians use and trust. Formerly known as Mint Digital Bank, this digital bank is a product of Lagos-based Finex Microfinance Bank. Mintyn has been granted the license to operate as a digital bank by the Central Bank of Nigeria, and customers’ deposits are protected by the Nigerian Deposit Insurance Corporation (NDIC).
Mintyn offers individual and business banking solutions. With the Mintyn Gift Cards, customers of this digital bank can make purchases in dollars and pounds on platforms such as Nike, Amazon, eBay, and Airbnb, to name a few. Also, Mintyn users can convert their airtime to cash on the Mintyn Bank app as well as buy fast-moving goods at great prices in-app, with the option of paying 70% later.
The perks of owning and operating an individual Mintyn account include free transfers without charges, free debit cards, cardless withdrawals, and bill payments. In addition, Mintyn offers instant loans, diaspora banking for those living abroad as well as high-interest rates on savings of up to 18% per annum.
With the Mintyn business account, account holders can perform bulk transfers, make scheduled payments, and register their businesses with the Corporate Affairs Commission (CAC). Also, business account holders can make mutual funds investments through the Mintyn Bank app.