It's time to make mobile money services safer to customers

Mobile money service is one of the most innovative ideas of our time. We are lucky it was born, and became a success story in East Africa, and now almost all nations in the world are adopting it.

About half of adults in Tanzania are said to be using mobile money, and a big chunk don’t have bank accounts- meaning, the technology has created more access to financial services for millions of unbanked. A paper titled, “Mobile Money in Tanzania” by Nicholas Economides and Przemyslaw Jeziorski published on July 29, 2016, notes that “in developing countries, mobile telecom networks have emerged as major providers of financial services, bypassing the sparse retail networks of traditional banks.”

The service is great, and the same paper alludes that it has ameliorated significant amounts of crime-related risk, associated with carrying hard cash. In the past one would fear carrying hard cash. According to the research, it has reduced street crime and burglaries. But as the service has solved some crime problems, new offences have emerged. Mobile phone money thefts have become a huge concern. No wonder the minister for Works, Transport and Communications, Mr Isack Kamwelwe wants telecommunication companies to urgently come up with measures to tackle the crisis. Many people have been getting spam SMS from conmen who trick phone users. Criminal elements also use social media where they put phone numbers and end up defrauding people. While the telecoms may have nothing to do with some kinds of theft, it is their duty to help the police and identify thieves after a number is used to commit crime.

Today, a mobile phone sometimes is also connected with bank accounts. We have seen in Kenya, employees of one of the largest company in the region, being arrested for aiding mobile money thefts. In Kenya, the story goes like this. Your phone becomes inactive. Before you realize what is happening, someone has swapped your sim card. All the monies in your mobile wallet and in your bank account connected to sim card is stolen. Operators in Tanzania must ensure this never happens here. Apart from crimes, the operators at times make the customers suffer for sheer technological fails or incompetencies. But why must the customer pay for problems not of his or her own making?

At least minister Kamwelwe, gave 30 days to the operators and regulator to come out with solution to some of the problems. It is a cry for many. Look at the issue of cross network mobile transfer. I am a victim! I sent money from one of my mobile number (Vodacom) to another (Airtel), which is also mine. One month down the line, the money is yet to reach destination, while in the phone line of origin, it has been deducted. Making frantic calls, has not solved the problem. As a customer of the two largest operators I am left wondering who has taken my money, Vodacom or Airtel? It is a big headache. If I ever get my money back, will I get some interest on top? Otherwise who has been using my money for a month?

Can you imagine if I was sending the money to someone helpless waiting for it to get medical help? Imagine at least I am in town I am able to call the operators, chat with them etc but the problem is not resolved! What of our brothers and sisters in the villages! There could be so many people like me who have lost money this way!

I hope the telecoms operators will take the minister’s advice very seriously and solve customers’ woes that are commonplace.

Customers should not suffer the consequences of your failure!

They must also be honest to their customers!

Saumu Jumanne is an Assistant Lecturer, Dar es Salaam University College of Education (DUCE).