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22 Novcrhcr 20ll
Shalcrdra lardcy
7/805&#$*9

lor rary colc r crcrgrg rarkcLs, Lhc rohlc horc s Lhc orly rcdur Lo
gvc Lhcr casy acccss Lo harkrg ard rarcal scrvccs. OcraLors r Lhcsc rarkcLs
arc rcrcasrgly Lakrg or Lhc rolc o harks as Lhcy laurch rohlc rorcy scrvccs
gcarcd Lowards colc who dor`L havc hark accourLs cLhcr or Lhcr owr whcr Lhc
rcgulaLory sysLcr allows, or hy ggyhackrg or Lhc harkrg lccrsc o a local hark.

lr sorc dcvclocd rarkcLs, such as aar ard SouLh lorca, ocraLors havc acqurcd
harks ard cardayrcrL rcLworks. lL has also hacrcd r AusLra, whcrc Nohlkor
houghL Al hark. lr Lurr, sorc harks, such as BarkrLcr r Sar ard Rahohark r Lhc
NcLhcrlards, havc Lakcr or Lhc rolc o ocraLors hy laurchrg NVNOs.

lr crcrgrg rarkcLs, Lhcrc s growrg corscrsus LhaL, wLh Lhc rghL rarkcL
cordLors, rohlc harkrg car rcach largc rurhcrs o oor colc who arc ouLsdc
Lhc orral harkrg ard rarcal sysLcr, ard gcrcraLc sgrcarL osLvc hcrcLs or
local ard raLoral ccororcs.

1hc usc o rcLworks o agcrLs Lo rcach Lhc urharkcd cusLorcrs s a corror acLor r
Lhc scrvcc roosLor o rohlc harkrg. lr SouLh Arca, WlZZl1 uscs a rcLwork o
yourg crLrcrcrcurs krowr as Wzzkds Lo scll ard raragc Ls hark accourLs ard, r
lcrya, Saarcor uscs Ls owr rcLwork o arLrc dsLrhuLors as agcrLs.

WlZZl1 has had quLc a roourd racL or Lhc dcvclorcrL o rohlc harkrg r
SouLh Arca. AlLhough L sLll orly rcrcscrLs a srall roorLor o Lhc oLcrLal
cusLorcr hasc, Ls rLroducLor has crcouragcd oLhcrs, such as lNB ard N1N harkrg,
Lo rrovaLc.

lr Brazl, rcarly ary rcLal csLahlshrcrL wLh a cash drawcr car acL as a harkrg
corrcsordcrL, alLhough Lhc ccrLral hark has roscd sorc rcsLrcLrg cordLors. lr
corLrasL, lrda crrLs orly a rarrow rargc o coocraLvcs, rorroL crLLcs ard Lhc
osLal sysLcr Lo hc uscd hy harks as agcrLs.

lr lcrya, Lhc sLorcdvaluc accourLs o Lhc rohlc scrvcc Nlcsa arc carcully
sLrucLurcd so as roL Lo corsLLuLc a "harkrg acLvLy" urdcr Lhc lcryar Barkrg AcL,
lcavrg Nlcsa`s rovdcr, Saarcor, rcc Lo choosc Ls agcrLs hascd or Ls husrcss
|udgrcrL alorc.

Nary harks arc sLll roL vcry kccr or dcloyrg rohlcharkrg scrvccs or Lhc
urharkcd oulaLor hccausc Lhcy dor`L scc ruch roLahlLy r ocrrg scrvccs
Lo lowrcorc cusLorcrs. 1hcrcorc, govcrrrcrLs ard rcgulaLors havc Lo crsuadc
harks Lo gcL rLo Lhc rarkcL Lhrough rcgulaLor or rarcal rccrLvcs.
:+&5/0&%0(&-#./;-)$1#$209/'<#+/9
1hc scoc o rohlcharkrg scrvccs ard Lhcr raLcs o adoLor wll rcvLahly dcr
ror rarkcL Lo rarkcL wLh oLcrLally rarkcd dcrcrccs hcLwccr dcvclocd ard
dcvclorg courLrcs. Howcvcr, Lhc hasc caLurcs o a rohlcharkrg scrvcc orLolo
arc urdarcrLally Lhc sarc. NosL rohlcharkrg scrvccs rovdc roLcaLors ard
rorraLor ahouL Lhc suhscrhcr`s accourL ard rohlc acccss Lo sLardard orlrc harkrg
scrvccs such as crcdL Lrarscrs hcLwccr accourLs, ayrg hlls ard scllrg/huyrg sLock.
1hc hrcadLh o oLcrLal rohlcharkrg scrvccs s vasL ard alrosL as dvcrsc as a hark`s
wholc scrvcc orLolo. Nohlcharkrg scrvccs car rargc ror srlc SNS alcrLs o accourL
acLvLy, hghlysccurc hll ayrcrLs ard rorcyLrarscr LrarsacLors Lo Lruc harkrg
scrvccs such as shorLLcrr crcdL arrargcrcrLs ard lorgLcrr loars. 1hcsc scrvccs car hc
caLcgorzcd rLo cLhcr rorraLorhascd or LrarsacLorhascd scrvccs.
&'()*+,65)'78,1.4"1.*950.1
AL Lhc hcarL o rosL rohlcharkrg scrvccs arc accourL rorraLor ard suorL scrvccs
LhaL arc Lycally roLcaLor or crquryhascd. lr addLor Lo rovdrg corvcrcrcc ard
lcxhlLy r acccssrg rorraLor, whch s oLcr oLhcrwsc avalahlc va call ccrLcrs (whch
arc cxcrsvc or scrvcc rovdcrs) or va Lhc lrLcrrcL (whch s roL always acccsshlc or
corsurcrs), rary o Lhcsc scrvccs arc csscrLal or corducLrg LrarsacLors, or rsLarcc,
halarcc crqurcs rghL hc rccdcd hcorc corrLLrg a rorcy rcrLLarcc or ayrg a crcdL
card hll. AccourL rorraLor ard suorL scrvccs avalahlc va Lhc rohlc charrcl rcludc.

AlcrLs o accourL acLvLy or assrg scL Lhrcsholds.

!!!"#$%&'()*("+&( !" #$%%" &'()*+," -./.0)+1" 2" 3.45," #

NrsLaLcrcrLs ard chcckrg ar accourL hsLory.

Acccss Lo crcdL card, loar or rsurarcc olcy sLaLcrcrLs.

SLaLus o chcck clcarrg, rcqucsLs or crcdL, rcludrg rorLgagc aroval, ard

rsurarcc covcragc.

Chcck hook ard card rcqucsLs.

lraud alcrLs, ard Lhc ahlLy Lo rcczc or carccl accourLs or cards.

lrorraLor or Lhc locaLor o rcarhy A1N rachrcs.

Nary o Lhc rsL rohlc rarcal scrvccs wcrc quLc sccalsL r raLurc ard dcsgrcd
scccally or Lhc rarcal scrvccs rdusLry, or cxarlc, rovdrg rcalLrc rorraLor
rcgardrg sLock rccs ard volurcs. Now Lhcsc accourLrg ard hrokcragc scrvccs arc hcrg
ocrcd Lo Lhc gcrcral uhlc as arL o a hroad rohlcharkrg orLolo, or as dcdcaLcd
scrvccs rovdcd hy sccalsL scrvcc rovdcrs. lrvcsLrcrLraragcrcrL scrvccs rcludc.

RcalLrc sLock quoLcs.

lcrsoralzcd alcrLs ard roLcaLors or rccs.

lorLoloraragcrcrL scrvccs.
AlLhough Lhc harkrg rdusLry was rLally quLc cxcLcd hy SNS alcrL scrvccs, Lhcy havc
roL rovcd Lo hc arLcularly oular, csccally r dcvclocd rarkcLs whcrc orlrc harkrg
s casly acccsshlc ard A1Ns arc corror rovdrg rclaLvcly casy acccss Lo rorraLor.
Howcvcr, LrcscrsLvc or sccurLyrclaLcd alcrLs ahouL suscous acLvLy or Lhc accourL, or
cxarlc, arc lkcly Lo hc rorc aroraLc ard rclcvarL or dclvcry va Lhc rohlc charrcl. Or
Lhc oLhcr hard, r dcvclorg rarkcLs, whcrc Lhc rohlc s oLcr Lhc orly alLcrraLvc sourcc
o rorraLor Lo vsLrg a hark, Lhcsc rorraLor scrvccs arc rovrg Lo hc vcry oular.
-*,'1,065)'78,1.4"1.*950.1
As Lhc sccurLy ard rclahlLy o rohlc ayrcrL soluLors has rrovcd, harks ard oLhcr
rarcal scrvccs corarcs havc hcgur Lo ocr Lhc ull caahlLcs o accourL raragcrcrL
ard LrarsacLors, or cxarlc, Lo corducL crcdL Lrarscrs hcLwccr accourLs, ay hlls ard scll/
huy sLock ror Lhc rohlc horc.
lr dcvclocd rarkcLs, Lhc crcrgcrcc o Lhcsc LrarsacLorhascd scrvccs has scrvcd Lo hrrg
Lhc harkrg, crcdL card ard rohlc ccosysLcrs closcr LogcLhcr ard harks havc hcgur Lo
rclcaLc lrLcrrcL harkrg scrvccs va Lhc rohlc charrcl. lr dcvclorg rarkcLs, csccally
Lhosc wLh largc rural oulaLors, whcrc Lhc harkrg rrasLrucLurc ard lrLcrrcL acccss
s lrLcd or cvcr rorcxsLcrL, LrarsacLorhascd scrvccs arc rovrg Lo hc vcry oular
ard rcrcscrL a ra|or growLh oorLurLy or rohlc ocraLors, Lhrd arLcs ard harks.
1rarsacLorhascd scrvccs rcludc.

Nohlc rcad accourL rcchargrg.

NcroayrcrL hardlrg (or rcroLc ard roxrLy ayrcrLs).

CrcdL, dchL ard rcad card ayrcrL roccssrg.

Bll ayrcrL roccssrg (c.g., or uLlLy scrvccs).

AccourL Lo accourL Lrarscrs.

SLocks ard corrodLy Lradrg.

CrcdL ard loar alcaLors.

DorcsLc ard rLcrraLoral urd Lrarscrs (ccrLoccr ayrcrLs).

1hc ra|orLy o LrarsacLorhascd scrvccs could hc classcd as rohlc ayrcrLs, usrg Lhc
corvcrLoral hark accourL or rohlc wallcL as a sourcc o urds. 1hc hourdary hcLwccr
rohlc ayrcrLs ard rohlc harkrg s Lhcrcorc hlurrcd. Urquc harkrg scrvccs
rcludrg dcosL Lakrg, rLcrcsLhcarrg savrgs accourLs, crcdL arrargcrcrLs such as
ovcrdraLs ard loars, cLc. car hc, huL arc roL rcccssarly, arL o Lhc rohlcharkrg scrvcc
ocrrg.
=.&-).09/'<#+/06/5.&8(/$*90)$60()'1/*0*'/$69
:;*)<.
NosL rohlcharkrg dcloyrcrLs r Luroc arc drvcr hy rdvdual harks or, r sorc
solaLcd cascs, hy rohlc ocraLors lookrg Lo usc rohlc harkrg Lo rovdc a corcLLvc
advarLagc alorgsdc a sLrorg rohlc ayrcrL roosLor (c.g., Nohlkor AusLra). Accordrg
Lo daLa ror CorScorc, 20 rllor rohlc uscrs across vc WcsLcrr Lurocar rarkcLs Ul,
!!!"#$%&'()*("+&( !" #$%%" &'()*+," -./.0)+1" 2" 3.45," =
lrarcc, Sar, Gcrrary ard lLaly acccsscd Lhcr hark accourL va a rohlc hardscL r Narch
20ll. 1hs was l5.4 rorc Lhar r AugusL 20l0 ard was drvcr hy Lhc growLh o srarLhorc
uscrs acccssrg harkrg scrvccs or Lhcr hardscLs.
lr Lhc Ul, Lhc rohlcharkrg scrvcc wLh Lhc largcsL uscr hasc s Lhc NorLsc scrvcc. 1hc
scrvcc was dcloycd hy Lhc |orL vcrLurc (Norlrk) hcLwccr rohlcharkrg Lcchrology
vcrdor NorLsc ard Vocalrk, Lhc owrcr o Lhc huscsL A1N rcLwork r Lhc Ul. lr AugusL
2009, NorLsc acqurcd l00 owrcrsh o Norlrk. 1hc NorLsc scrvcc s avalahlc Lo
cusLorcrs o varous harks rcludrg Lhc Royal Bark o ScoLlard, NaLWcsL, UlsLcr Bark,
lrsL DrccL, HSBC, Allarcc & LcccsLcr ard Lloyds 1SB. 1hc scrvcc s also corrccLcd Lo all
rohlc ocraLors r Lhc Ul crsurrg ull rLcrocrahlLy (scc g. l). A srlar aroach o
crsurrg rLcrocrahlLy has hccr adoLcd hy Nohay r Sar, a |orL vcrLurc orrcd hy
Lhc courLry`s rohlc ocraLors ard S0 o Ls rarcal rsLLuLors.
>5?@"%A"&'6.*)<.*,85/56B")("3)'5651."+)85/.78,'C5'?"1.*950.
lr ScLcrhcr 20l0, NorLsc rcorLcd LhaL ahouL 2 rllor colc r Lhc Ul raragcd Lhcr
rorcy usrg Lhcr rohlc dcvcc. 1hc rcscarch also rcvcalcd LhaL rohlcharkrg uscrs acccss
Lhcr accourLs l5lS Lrcs a rorLh or avcragc, corarcd wLh sx Lrcs a rorLh or orlrc
harkrg uscrs, ard lcss Lhar orcc a rorLh or Lclchorc harkrg uscrs. NorLsc uL LogcLhcr
Lhc rcscarch usrg sLaLsLcs ror Lhc BrLsh Barkcrs` AssocaLor as wcll as Ls owr daLahasc
o srarLhorc rcqucsLs. 1hc corary s hardlrg ovcr l00 rllor rohlcharkrg crqurcs
ard LrarsacLors a ycar, or ahouL 2,700 dcrcrL hardscL Lycs.
AroLhcr rrovaLvc, ard oLcrLally dsruLvc, rodcl or rohlc harkrg r Luroc car hc
llusLraLcd hy BarkrLcr r Sar ard Rahohark r Lhc NcLhcrlards.
BarkrLcr, whch s a rcdurszcd Sarsh hark, s ar cxarlc o a harkccrLrc husrcss
rodcl whcrc Lhc hark has gorc Lo Lhc cxLcrL o hccorrg a rohlc scrvccs rovdcr. lL Look
advarLagc o avorahlc rcgulaLory olccs r Sar ard has hccorc ar NVNO (rohlc vrLual
rcLwork ocraLor) Lo rovdc hoLh rohlc ard harkrg scrvccs Lo Ls cusLorcrs.
As o Narch 20ll, 24 o BarkrLcr cusLorcrs wcrc usrg rohlc harkrg ard accourLrg or
Ls 7 o LoLal harkrg LrarsacLors. Nohlc harkrg gcrcraLcs 40 rllor SNS rcssagcs cr
ycar or Lhc hark ard has rcsulLcd r a 5 dccrcasc r raud. lrLcrcsLrgly, BarkrLcr rcorLcd
LhaL 52 o Ls rharkrg LrarsacLors arc corrg ror lhorc uscrs ard l2 ror Ardrod
uscrs. lL also ocrs a SNS hascd l2l rohlc ayrcrLs scrvcc callcd HalCash, whch allows
cusLorcrs Lo scrd rorcy Lo oLhcr rohlc uscrs.
lr NcLhcrlards, Rahohark has laurchcd Ls owr NVNO, RahoNohcl, r ordcr Lo dclvcr
rohlcharkrg scrvccs Lo Ls cusLorcrs. RahoNohcl s orc o largcsL NVNOs r Lhc
NcLhcrlards, whcrc L has ovcr 40 corcLLors. lr addLor Lo rohlc harkrg, L also ocrs
osLad, rcad ard rohlc daLa scrvccs. lLs cusLorcrs car chcck Lhcr accourL halarcc,
!!!"#$%&'()*("+&( !" #$%%" &'()*+," -./.0)+1" 2" 3.45," D
carry ouL clccLrorc Lrarscrs, chcck sLock rccs ard ay hlls va Lhcr hark accourL usrg
Lhcr rohlc horcs.
Ncarwhlc, r lrarcc, BNl larhas ard rohlc ocraLor Orargc havc orrcd a arLrcrsh
ard sgrcd a Lradcrark lccrsc agrccrcrL Lo laurch rohlcharkrg scrvccs. BNl larhas
cusLorcr advsors wll hc ahlc Lo ocr rohlcharkrg scrvccs r all 2,250 hrarchcs ard
cusLorcrs wll hc ahlc Lo acccss Lhcr hark accourLs ard rakc ayrcrLs usrg Lhcr rohlc
horcs.
lr uly 20ll, lolsh Bark, lckao corrrcd L had arourd 45,000 rohlcharkrg uscrs, a ycar
aLcr L laurchcd Lhc scrvcc r uly 20l0. lckao s arL o Lhc UrCrcdL grou, whch s orc
o Lhc largcsL harkrg ard rarcal scrvccs corarcs r LasLcrr Luroc. lL has vc rllor
cusLorcrs rcludrg ovcr 250,000 srall ard rcdur szcd crLcrrscs.
EF
lrLally, rohlcharkrg scrvccs r Lhc US largcly rrrorcd LhaL o Lhc harks` orlrc ocrrgs.
lor cxarlc, Lhc Bark o Arcrca`s scrvcc, rLroduccd r Nay 2007, uscs Lhc horc`s hrowscr
Lo allow corsurcrs Lo chcck halarccs, ay hlls, Lrarscr urds ard locaLc A1Ns ard rcarhy
harks. Srcc Lhcr Lhc hark has also rLroduccd SNShascd rohlc harkrg ard also Ls rohlc
harkrg a or varous srarLhorc laLorrs (scc g. 2). lL was rcorLcd LhaL Bark o
Arcrca had 5.5 rllor rohlcharkrg uscrs r Narch 20ll.
>5?@"#A"3)85/.78,'C5'?")<65)'1",6"G,'C")("H+.*50,
1hc Lhrcc largcsL rohlc ocraLors r Lhc US, A1&1, Vcrzor ard SrrL NcxLcl, havc all
laurchcd rohlcharkrg scrvccs. A1&1`s scrvcc, lvc srcc Novcrhcr 2007, rovdcs
halarcc rqury, LrarsacLor hsLory, hll rcscrLrcrL, ayrcrL ard Lrarscr urcLoralLy.
1hc ocraLor has arLrcrcd wLh scvcral harks Lo ocr a dowrloadahlc avahascd clcrL or
Lhosc o Lhcr cusLorcrs who arc also A1&1 suhscrhcrs. A1&1 s also workrg wLh hardscL
vcrdors Lo rcload Lhc alcaLor orLo hardscLs hcorc salc Lo wdcr Lhc rcach ard srly
Lhc uscr cxcrcrcc or Lhc scrvcc.
lor A1&1, Lhc chocc o Lhc avaclcrL rodcl was drvcr hy Lhc dcsrc Lo ocr a sucror
cxcrcrcc Lo LhaL rovdcd hy hrowscrhascd (WAl) or rcssagrghascd (SNS) rccharsrs,
csccally as L crahlcd olrc usc Loo. lor cxarlc, dowrloadcd accourL rorraLor car hc
sLorcd sccurcly or Lhc hardscL, ard LrarsacLors car hc scL u ard qucucd cvcr whcr ouL o
covcragc (c.g., whcr Lravcllrg or Lhc suhway). Whcr Lhc horc s rcxL hack r covcragc, Lhc
LrarsacLors arc rLaLcd ard roccsscd.
Vcrzor`s rohlcharkrg scrvcc was laurchcd r aruary 200S ard s avalahlc or cusLorcrs
o harks rcludrg Wachova, Sur1rusL, lrsLBark ard BarcorSouLh. 1hc scrvcc crahlcs
cusLorcrs Lo chcck accourL halarccs, Lrarscr urds hcLwccr accourLs wLhr Lhc sarc hark,
ard Lo rcvcw ard ay hlls LhaL havc.
lr ScLcrhcr 200S, SrrL NcxLcl laurchcd NyNorcyNaragcr, ar alcaLor LhaL car hc
dowrloadcd or Lhc horc ard s also rcloadcd or sorc hardscLs. lL rovdcs orlrc harkrg
acccss Lo Ls suhscrhcrs` accourLs wLh varous harks rcludrg BB&1, CLhark, lBC Bark ard
!!!"#$%&'()*("+&( !" #$%%" &'()*+," -./.0)+1" 2" 3.45," I
lNC Bark. SrrL NcxLcl`s suhscrhcrs wLh accourLs aL Lhcsc harks arc ahlc Lo chcck halarccs,
ay hlls ard rd rcarhy hrarchcs wLh A1Ns usrg Lhc alcaLor or Lhcr horc.
CLBark also ocrs a rohlcharkrg scrvcc callcd CL Nohlc LhaL lcLs cusLorcrs ay hlls,
chcck Lhcr accourL halarccs ard Lrarscr urds, rcgardlcss o whch rohlc ocraLor Lhcy
usc. CLBark chosc roL Lo arLrcr wLh ary sccc rohlc ocraLor ard dcvclocd Ls owr
dowrloadahlc rohlcharkrg alcaLor. CusLorcrs havc Lo usc a sxdgL llN codc or
auLhcrLcaLrg LrarsacLors ard all corrurcaLor hcLwccr Lhc rohlc horc ard Lhc hark`s
scrvcrs uscs l2ShL crcryLor.
US rarcal rsLLuLor Nassau lrarcal lcdcral CrcdL Uror arLrcrcd wLh rlourdry, a
rohlcharkrg laLorr rovdcr, Lo laurch Ls Nohlc24 rohlcharkrg scrvcc. Nohlc24
crahlcs Nassau lrarcal cusLorcrs Lo acccss Lhcr harkrg scrvccs va SNS, rohlc lrLcrrcL
or a dowrloadahlc alcaLor. Scrvccs acccsshlc va Nohlc24 rcludc accourL halarcc,
LrarsacLor hsLory, hll ayrcrL, ard a locaLor scrvcc or A1Ns ard Nassau lrarcal
hrarchcs.
1hc US hark lLh 1hrd Bark has choscr Lo usc ClarNal`s rohlcharkrg laLorr Lo rovdc
Ls scrvccs, whch rcludc accourL halarccs, Lrarscrs, LrarsacLor hsLorcs ard SNS alcrLs.
lLh 1hrd Bark cusLorcrs wll hc ahlc Lo acccss rohlcharkrg scrvccs va SNS, rohlc
lrLcrrcL ard a dowrloadahlc clcrL or rulLlc dcvccs, rcludrg Alc`s lhorc. lLh 1hrd
Bark s hcadquarLcrcd r CrcrraL, Oho, ard has a rcLwork o l,2l2 harkrg ccrLcrs ard
2,445 A1Ns r l2 US sLaLcs.
Norc rcccrLly, US hark lrsLNcrL laurchcd rohlcharkrg scrvccs r AugusL 20ll, crahlrg
Ls cusLorcrs Lo acccss ard raragc Lhcr hark accourLs va SNS or a dowrloadahlc
alcaLor. lr Lhc rsL hasc o Lhc scrvcc, lrsLNcrL cusLorcrs car vcw Lhcr accourL
halarccs ard LrarsacLor hsLory, ard acccss a sLorc ard A1N locaLor. Va Lhc dowrloadahlc
alcaLor orly, lrsLNcrL cusLorcrs wll hc ahlc Lo Lrarscr urds hcLwccr Lhcr accourLs
wLh Lhc hark. lr Lhc sccord hasc o Lhc ro|ccL, Lhc hark wll rLroducc Lhc ahlLy or
cusLorcrs Lo acccss Lhcr accourL rorraLor ard L wll also laurch a rohlcharkrg
wchsLc.
H15,"J,05(50"K.9./)<.4
Gvcr LhaL rorc colc acccss Lhc lrLcrrcL ror Lhcr rohlc horcs Lhar va a coruLcr r
aar ard SouLh lorca, L s roL surrsrg LhaL rohlcharkrg scrvccs arc rorc csLahlshcd
r Lhcsc rarkcLs Lhar r oLhcr dcvclocd rarkcLs clscwhcrc r Lhc world. 1hs Lrcrd has hccr
drvcr hy Lhc aggrcssvc sLraLcgcs o Lhc rohlc ocraLors r Lhcsc courLrcs.
Nohlc ocraLor N11 DoCoNo has lcd Lhc rohlcharkrg ard ayrcrLs rarkcL r aar. lr
ordcr Lo do so, L arLrcrcd wLh SurLoro NLsu lrarcal Grou ard acqurcd a sLakc r
SurLoro NLsu Card or ahouL Y9S hllor (US$922 rllor). SurLoro has hccr rcsorshlc
or csLahlshrg Lhc rrasLrucLurc or rohlc NlC ayrcrLs, rcludrg rsLallrg Lcrrrals
ard A1Ns coraLhlc wLh rohlcwallcL hardscLs. lDDl, aar`s sccord largcsL rohlc
ocraLor, has also hccr vcry acLvc r rohlc harkrg ard s workrg wLh a rurhcr o harks
rcludrg NLsuhsh Ul lrarcal.
aar has a vcry sohsLcaLcd harkrg sysLcr, wLh a rurhcr o orlrcorly harks LhaL
ocr acccss Lo scrvccs va Lhc lrLcrrcL ard rohlc horcs. Howcvcr, Lhc rurhcr o rohlc
harkrg uscrs s sLll sgrcarLly lcss corarcd wLh Lhc orlrc/xcd lrLcrrcL harkrg uscrs.
lr SouLh lorca, Lhc rohlc ocraLor Sl 1clccor has dcvclocd a rargc o rohlcharkrg ard
ayrcrL scrvccs urdcr Lhc "NBark" ard "NorcLa" hrard rarcs. Scrvccs rcludc rohlc
harkrg, rohlc sLock Lradrg, rohlc LrarsorLaLor ass, rohlc crcdLcard LrarsacLors
ard oLhcr orrs o rcorrcrcc. 1hc NBark scrvcc lcLs suhscrhcrs corducL a varcLy o
hark LrarsacLors, such as rorcy Lrarscrs ard accourL rqurcs, Lhrough Lhcr rohlc
horcs, whlc NorcLa s a local rohlc ayrcrLs scrvcc LhaL uscs corLacLlcss Lcchrology.
Nohlc Norcy VcrLurcs, a |orL vcrLurc hcLwccr CLhark ard Sl 1clccor, was orrcd
r Narch 200S Lo rovdc rohlcharkrg scrvcc soluLors Lo harks. lLs rsL cusLorcr
rlcrcrLaLor, wLh CLhark Horg lorg, was arrourccd r Novcrhcr 200S. 1hc scrvcc
crahlcs CLhark cusLorcrs Lo acccss accourL rqury ard raragcrcrL, Lrarscr ard
ayrcrLs, Lrc dcosL, sLock Lradrg, crdrg ordcr raragcrcrL, sLock quoLaLor ard
orLolo raragcrcrL whcr Lhcy usc Lhcr rohlc horcs.
!!!"#$%&'()*("+&( !" #$%%" &'()*+," -./.0)+1" 2" 3.45," L
lr Horg lorg, Lhc Bark o Chra also ocrs a SlNhascd rohlcharkrg scrvcc Lo Ls
cusLorcrs crahlrg halarcc crqurcs, accourL Lrarscrs, sLock Lradrg, acccss Lo crcdL card
accourLs ard oLhcr rarcal rorraLor.
:+.*?5'?"+,*C.61
1hc corvcrLoral wsdor o Lhc Lclccors world s LhaL rcw Lcchrologcs ard scrvcc
rrovaLor occur whcrc Lclccors usagc ard crcLraLor s hghcsL (.c., r Lhc dcvclocd
ccororcs o WcsLcrr Luroc, NorLh Arcrca, aar ard SouLh lorca) ard cvcrLually srcad
Lo Lhc dcvclorg rarkcLs. Howcvcr, rohlcharkrg ard ayrcrL scrvccs sccr Lo dcy Lhs
corvcrLoral wsdor hccausc rary dcvclorg rarkcLs, r arLcular sorc o Lhc Arcar
courLrcs, arc ar ahcad r Lhc rohlcharkrg scrvccs sccLor Lhar rosL dcvclocd rarkcLs.
1hc rar rcasor or Lhs s LhaL urlkc Lhc dcvclocd world, whcrc Lhc rohlc charrcl s
slowly hccorrg rLcgraLcd rLo Lhc wcllcsLahlshcd ayrcrLs ard harkrg rrasLrucLurc
r Lhc crcrgrg rarkcLs, Lhc rohlc charrcl s oLcr Lhc rsL ard Lhc orly orr o harkrg
scrvcc avalahlc or a largc scgrcrL o Lhc oulaLor.
G,'C5'?"6M."N;'8,'C.4O
NosL courLrcs r Lhc dcvclorg world arc characLcrzcd hy ccororcs LhaL arc dorraLcd hy
cash LrarsacLors, ard whcrc Lhc ra|orLy o Lhc oulaLor lvcs hclow Lhc ovcrLy lrc ard s
wdcly dscrscd r largc rural arcas whcrc hark hrarchcs ard A1Ns arc alrosL rorcxsLcrL.
CorvcrLoral harks r Lhcsc rarkcLs arc ocuscd or Lhc Lo crd o Lhc ccororc yrard,
whcrc roLahlLy s assurcd ror a rclaLvcly low volurc o hghvaluc LrarsacLors ard Lhc
corccrLraLor o cusLorcrs r cw urhar ccrLcrs. CorscqucrLly, aryorc ror ouLsdc Lhcsc
urhar arcas warLs Lo usc a hark, Lhcy would havc Lo Lravcl sorc dsLarcc, r sorc cascs u
Lo 50kr, Lo rd Lhc rcarcsL hark. As a rcsulL, Lhc harkrg crcLraLor r rosL dcvclorg
courLrcs s sgrcarLly lowcr corarcd wLh Lhc crcLraLor o rohlc horc uscrs.
1hcrc arc rary oLhcr rcasors why colc aL Lhc lowcr crd o Lhc ccororc sccLrur do roL
havc hark accourLs. lL could hc as srlc as Lhc lack o crough urds Lo |usLy ar accourL,
huL L could also hc hccausc o car o Lhc hurcaucracy, orrllrg ard crcdL chccks LhaL arc
rcccssary oLcr duc Lo a oor lcvcl o lLcracy. lor Lhcsc corsurcrs, rohlc harkrg acals
hccausc L s crccvcd as cascr Lo acccss, rorc corvcrcrL, rorc aordahlc ard sacr Lhar
Lhc alLcrraLvcs.
lr LoLal, Lhcrc arc arourd our hllor colc aL Lhc hoLLor o Lhc ccororc yrard r Lhc
dcvclorg world, rosL o whor havc ro hark accourL or casy acccss Lo rarcal scrvccs.
Barkrg Lhc "urharkcd" s Lhcrcorc a Lrcrcrdous rarkcL oorLurLy sorc csLraLcs
lacc Lhc oLcrLal valuc o Lhs rarkcL as aroachrg US$5 Lrllor. NoL surrsrgly, L s
a rarkcL LhaL s gcLLrg a loL o aLLcrLor ror Lclccors ocraLors, harks ard govcrrrcrL
agcrccs, as wcll as roLorroL orgarzaLors ard rcrorarcc rsLLuLors (Nlls).
Nohlc harkrg, also rccrrcd Lo as "hrarchlcss harkrg" r rary dcvclorg courLrcs has
a hugc oLcrLal Lo addrcss Lhc urharkcd oulaLor scgrcrL hy ocrrg Lhcr a lowcosL
rccharsr Lo hcrcL ror rarcal scrvccs ard Lhcrchy also crcouragc ard hcl r Lhc
crcrgcrcc o Nlls Lo hoosL local ccororcs.
By adoLrg rohlcharkrg Lcchrologcs, Lycally SNS or USSDhascd, ard cxloLrg
alLcrraLvc dsLrhuLor charrcls csLahlshcd hy rohlc ocraLors, hrarchlcss harkrg wll
roL orly hrrg harkrg scrvccs Lo Lhc rcvously urharkcd, L has Lhc oLcrLal Lo crcaLc
a cosLcccLvc ard sccurc cashlcss LrarsacLor ccosysLcr. Such ar ccosysLcr could ocr
oorLurLcs or rarkcLcccrL rcLal scrvccs, l2l rorcy Lrarscr, govcrrrcrL/uhlc
scrvccs ard rcw rcrohusrcss oorLurLcs. 1hs would crowcr ard crrch Lhc lvcs o
Lhc urdcrrvlcgcd ard hrrg Lhcr rLo Lhc orral ccorory.
H(*50,
Arca s crhas Lhc rosL cxcLrg rarkcL oorLurLy or rohlc harkrg or Lhc urharkcd.
Nlcsa s a |orL vcrLurc hcLwccr Vodaorc ard Saarcor wLh Lhc hackrg o CLhark ard
Corrcrcal Bark o Arca Lo rovdc a rohlcwallcLhascd hrarchlcssharkrg scrvcc ard
Ls crorrarcc r lcrya srcc Ls laurch r Narch 2007 has hccr roLhrg shorL o sccLacular.
lL garcd 20,000 suhscrhcrs wLhr Lhc rsL rorLh, l50,000 suhscrhcrs ovcr Lhrcc rorLhs
ard l.7 rllor suhscrhcrs |usL orc ycar aLcr Lhc rLal laurch. lr Ls rsL ycar o ocraLor,
Nlcsa aclLaLcd rohlc horc harkrg LrarsacLors worLh a LoLal o US$2S rllor. As aL
Narch 20ll, Lhcrc wcrc l4 rllor Saarcor suhscrhcrs acLvcly usrg Lhc Nlcsa scrvcc,
suorLcd hy ar agcrL rcLwork o ovcr 24,000 ouLlcLs. Saarcor`s rcvcruc ror Nlcsa was
arourd US$l20 rllor r Lhc rarcal ycar crdcd Narch 20ll, a growLh o 55 or Lhc
rcvous ycar.
!!!"#$%&'()*("+&( !" #$%%" &'()*+," -./.0)+1" 2" 3.45," P
lr SouLh Arca, rohlc harkrg has hccorc Lhc rorr or ruch o Lhc harkcd, ard ar
rcrcasrg rurhcr o Lhc urharkcd, oulaLor. 1hs courLry ocrs all orrs o rohlc
harkrg scrvccs. 1hc rohlcocraLorlcd rodcl o N1N Barkrg (a |orL vcrLurc hcLwccr
Lhc rohlc ocraLor N1N ard SLardard Bark), Lhc harklcd rodcl o lrsL NaLoral Bark
(lNB), ard Lhc LhrdarLylcd rodcl o WlZZl1.
N1N Barkrg s a V hcLwccr N1N, Lhc sccord largcsL rohlc ocraLor r SouLh Arca, ard
SLardard Bark, ard car Lhcrcorc cxloL Lhc rohlc ocraLor`s dsLrhuLor caahlLcs, ard
Lhc hark`s ahlLy Lo raragc rsk ard Ls LrusLcd osLor r rarcal scrvccs. Ncw cusLorcrs
car scL u Lhcr N1N NohlcNorcy accourL clccLrorcally, wLhouL Lhc rccd Lo hyscally vsL
a hrarch or hc vsLcd hy ar agcrL. 1hc cusLorcr crLcrs hs or hcr SouLh Arcar lD rurhcr
ard rarc Lhs s Lhcr valdaLcd agarsL ar rdccrdcrL daLahasc, wLhouL Lhc rccd Lo rovdc
ar addrcss. 1hs s succrL Lo ocr a rcsLrcLcd hark accourL accordrg Lo LxcrLor l7
o Lhc llCA (lrarcal rLcllgcrcc CcrLcr AcL) Lhc SouLh Arcar lcgslaLor or arLrorcy
laurdcrrg (ANL) ard corhaLrg o rarcrg o Lcrrorsr (Cl1).
lr Lhc lvory CoasL, Orargc laurchcd Orargc Norcy r Dcccrhcr 200S. 1hc scrvcc gvcs
cusLorcrs acccss Lo a rargc o dayLoday rohlcharkrg scrvccs, rcludrg dcosLrg
ard wLhdrawrg u Lo XOll00,000 (arourd US$l50) ror Lhcr Orargc Norcy accourL,
Lrarscrrrg rorcy ror orc crsor Lo aroLhcr, huyrg u Lo XOll0,000 (US$l5) o call crcdL,
ard ayrg hlls. BlClCl, BNl larhas hark's lvory CoasL suhsdary, ssucs ard guararLccs Lhc
clccLrorc rorcy ard Orargc lvory CoasL hardlcs Lhc scrvcc's laLorr ard rarkcLrg. Uscrs
do roL rccd Lo hold a hark accourL Lo suhscrhc Lo Lhc scrvcc. Orargc Norcy has srcc hccr
dcloycd Lo oLhcr Arcar courLrcs, rcludrg lcrya.
lr Zarha ard Lhc DcrocraLc Rcuhlc o Corgo, Cclay ocrs a ullyurcLorrg
LrarsacLoral rohlc accourL (rohlc wallcL or sLorcd valuc accourL |SVA]) ocraLrg or
hchal o a rurhcr o harks. Nohlc alcaLors rcludc vcrdrg arLrc, cash or dclvcry,
rdvdual arLrc urchascs, hll ayrcrLs ard crsorLocrsor (l2l) ayrcrLs. 1hc rohlc
accourL s ocraLcd usrg lurdaro Lcchrology ard s rLcgraLcd wLh Lhc arLrcr harks ard
rohlc ocraLors, Lhc hark accourL rcrars wLh Lhc hark.
lurds arc dcosLcd rLo a Cclay SVA ror a hark accourL or hy dcosLrg cash aL a arLrcr
hark. layrcrL LrarsacLors arc rLaLcd usrg SNS ard arc auLhcrLcaLcd hy usc o a llN,
Lhc scrvcc rovdcr Lrarscrs rorcy rrcdaLcly Lo Lhc rcrcharL accourL, rcrcharLs ay
a 24 corrssor or Lhc LrarsacLor valuc. 1hc rrary rcvcruc sLrcars or Cclay arc
LrarsacLor ccs ard corrssors ror arLrc ard hll ayrcrLs. 1hc rcrhcr harks hcrcL
ror Lhc rcrcascd cashlow gcrcraLcd as wcll as rrovcd cusLorcr scrvcc r arcas whcrc
rcvously ro scrvcc was osshlc.
lr LgyL, Vodaorc ocrs Lhc Vodaorc Cash scrvcc r arLrcrsh wLh HSBC. 1hc scrvcc
uscs a cash card lrkcd Lo Lhc rohlc horc Lo ay Lclccors hlls, rcchargc arLrc accourL
halarccs ard Lrarscr rorcy Lo oLhcr Vodaorc Cash cardholdcrs. Cash car hc wLhdrawr
aL ary Vodaorc, HSBC or Radoshack rcLal ouLlcLs, Vodaorc Cash dcalcrs or ror sclccLcd
A1Ns.
H15,
Nohlcharkrg ard ayrcrL scrvccs havc hccr avalahlc r Lhc lhlrcs srcc 2000 whcr
SrarL CorrurcaLors laurchcd Ls SrarL Norcy scrvcc r coocraLor wLh lsL cBark ard
NasLcrCard. Orgrally Lhc SrarL Norcy rohlc wallcL ard NasLcrCard wcrc ssucd hy lsL
cBark, a whollyowrcd suhsdary o SrarL CorrurcaLors, huL Lhc hark was suhscqucrLly
dvcsLcd ard s row krowr as Barco dc Oro Urvcrsal. 1hs llusLraLcs LhaL, rcgardlcss o
whcLhcr Lhc rohlc rorcy scrvcc s hrardcd hy ar ocraLor or roL, a hark rusL hc hchrd
L Lo look aLcr dcosL Lakrg ard rsk raragcrcrL.
1hc GCash scrvcc dcvclocd hy Glohc 1clccor r Lhc lhlrcs was laurchcd r 2004 s
also a rohlcwallcL alcaLor. NosL cusLorcrs usc Lhc scrvcc usrg SNS, alLhough Lhc
scrvccs laLorr s caahlc o rovdrg rcrudrvcr scrvccs usrg USSD or GlRS. Urlkc
SrarL, Glohc laurchcd Ls scrvcc wLhouL ary cxlcL rvolvcrcrL o a hark, ssurg accourLs
urdcr Lhc rarc o GXchargc lrc. (GXl), a whollyowrcd suhsdary o Glohc 1clccor.
lrda has sccr a grcaL dcal o acLvLy r rohlc harkrg ard ayrcrLs srcc 2002. CurrcrLly,
rohlcharkrg scrvccs arc orly avalahlc or suhscrhcrs wLh a hark accourL, or a crcdL
or dchL card wLh orc o Lhc ra|or lrdar harks. A rurhcr o LhrdarLy ayrcrL scrvcc
rovdcrs, such as rChck, Ohoay ard layNaLc, havc arLrcrcd wLh harks ard rohlc
ocraLors Lo ocr Lhcr owrhrardcd rohlcharkrg ard ayrcrL scrvccs. BharL ArLcl
ocrs rohlcharkrg scrvccs r arLrcrsh wLh scvcral harks rcludrg HDlC, lClCl, SBl
!!!"#$%&'()*("+&( !" #$%%" &'()*+," -./.0)+1" 2" 3.45," Q
ard Vsa ard rChck. Vodaorc also ocrs rohlc harkrg r collahoraLor wLh HDlC Bark,
ABN ANRO ard loLak Nahrdra Bark. Barclays Bark ocrs Lhc "Hcllo Norcy" scrvcc hascd
or a USSD laLorr or uLlLy ard crcdL card hll ayrcrLs.
NorLsc laurchcd Ls rohlcrorcy scrvccs r lrda r urc 20ll or SLardard CharLcrcd
Bark, wLh a rargc o srarLhorc ard ava as. 1hc scrvcc crahlcs uscrs Lo vcw Lhcr hark
accourL dcLals, Lrarscr dorcsLc urds ard ay hlls. Uror Bark o lrda has also laurchcd
Ls "Uror Bark Norcy" scrvcc r arLrcrsh wLh Noka.
Chra has a lrLcd clccLrorc ayrcrLs rcLwork, ar crorrous rurhcr o "urharkcd" colc
ard Lhc world`s largcsL rohlc rarkcL. 1hc courLry Lhcrcorc rcrcscrLs a hugc oorLurLy
or rohlc harkrg ard ayrcrLs. lLs clccLrorc ayrcrL rarkcL s growrg radly, so
rvcsLors ard rLcrraLoralayrcrL corarcs havc hccr drawr Lo Lhc courLry. 1hcrc arc
row a rurhcr o LhrdarLylcd rohlc ayrcrLs ard harkrg scrvccs Lhcrc, rcludrg
Ycclay, llS, UNlay ard SrarLlay, rosL o whch arc arLrcrcd wLh Lhc ra|or rohlc
ocraLors ard rurcrous harks.
SrarLlay s a good cxarlc o a LhrdarLylcd rohlcharkrg scrvcc r Chra. 1hc
corary has dcvclocd a srlc SNShascd ayrcrLs ard rohlcwallcL scrvcc, rarkcLcd
urdcr Lhc hrard rarc "cyr". Lkc rary rohlcayrcrL sccalsLs, SrarLlay`s corc
husrcss s rohlc Lou va SNS. OLhcr scrvccs rcludc uLlLcs ayrcrL, rohlc LckcLrg,
loLLcry LckcL urchascs ard a dcdcaLcd Lcar o dcalcrs Lo scrvc Chra's urharkcd oulaLor.
SrarLlay has orrcd arLrcrshs wLh a rurhcr o Chrcsc harks, rcludrg ludorg
DcvclorcrL Bark, Chra Nrshcrg Barkrg Cor, ard Husharg Bark, ard L also has a kcy
arLrcrsh wLh Chra Urcor. lr lchruary 2007, SrarLlay laurchcd Lhc Chra Urcor
Nohlc WallcL, whch car hc loadcd wLh rorcy va Ls dcalcr rcLwork. 1hc corary has also
csLahlshcd a largc hasc o rcrcharLs LhaL acccL ayrcrLs ror SrarLlay, r addLor Lo Ls
owr rcLwork o agcrLs krowr as "SrarLlay dcalcrs" LhaL roccss ayrcrLs or hchal o crd
uscrs.
lr Nay 20ll, SrarLlay rcccvcd a ayrcrL lccrsc ssucd hy Lhc lcolc's Bark o Chra
(lBOC), auLhorzrg Lhc corary Lo dcloy raLorwdc rohlc, lrLcrrcL ard rcLwork
ayrcrL scrvccs, as wcll as rcad card ssuarcc ard acccLarcc ard hark card acqusLor.
1hs was a hg wr or SrarLlay ard L was Lhc orly clccLrorcayrcrL corary ocuscd or
rohlc ayrcrLs Lo rcccvc a ayrcrL lccrsc.
R,65'"H+.*50,
Ovcr a Lhrd o LaLr Arcrca's l00 largcsL harks arc ocrrg rohlcharkrg scrvccs,
rrarly va srlc SNShascd alcaLors. ArgcrLra, whcrc ovcr 50 o harks ocr Lhc
scrvcc, s rarkcL lcadcr.
lr Brazl, rcLal vcrdors, loLLcry ouLlcLs ard osL occs douhlc as hark hrarchcs or cusLorcrs.
1hcsc laycrs acL as harkrg agcrLs ard roccss LrarsacLors wLh orLosalc (lOS) dcvccs,
such as horcLrc or srarLcard rcadcrs, harcodc scarrcrs ard sorcLrcs crsoral coruLcrs
LhaL corrccL wLh Lhc hark scrvcr usrg dalu or, r sorc cascs, rohlc horcs. 1hcsc agcrLs
collccL ard dshursc cash, rakc hll ayrcrLs ard oLhcr rorcy Lrarscrs ard ll r crcdL
alcaLors.
1hc dca o harkrg agcrLs has srcad ror Brazl Lo scvcral oLhcr LaLr Arcrcar courLrcs
ard has csLahlshcd a rcccdcrL whch s lkcly Lo hc cxloLcd hy rohlc ocraLors ard
harks as Lhcy look Lo usc Lhc rohlc charrcl Lo urLhcr cxLcrd Lhc rcach ard urcLoralLy o
hrarchlcss harkrg scrvccs.
>)+*&'90)%%/+*#$20*?/02'&!*?0&%0(&-#./0-)$1#$2
S.?;/,65)'
RcgulaLor o Lhc rarcal scrvccs rarkcL varcs corsdcrahly hcLwccr courLrcs ard rcgors
huL, as a gcrcral rulc, Lhc rorc a rohlc ocraLor hccorcs rvolvcd r Lhc rovsor
o rarcal scrvccs, Lhc hcavcr Lhc hurdcr o rarcal rcgulaLor. 1radLoral rarcal
rcgulaLor, r rary cascs, s ro lorgcr aroraLc or Lhc rcwlycrcrgrg rohlcharkrg
ard ayrcrL scrvccs.
1hc rsL lcvcl o rarcal rcgulaLor s ANL/Cl1 (arLrorcy laurdcrrg/corhaLrg o
rarcrg o Lcrrorsr) corlarcc, whch gcrcrally hccorcs alcahlc whcr Lhc rohlc
ocraLor hccorcs rvolvcd r cashhardlrg aL Lhc corsurcr rLcracc. 1hc rcxL lcvcl o
rcgulaLor s krowr as rudcrLal rcgulaLor rcgardrg dcosL Lakrg, ayrcrLs ard c
!!!"#$%&'()*("+&( !" #$%%" &'()*+," -./.0)+1" 2" 3.45," T
Norcy, whch hccorcs alcahlc whcr rsks rcrcasc or Lhc rohlc ocraLor, harks ard
corsurcrs r crahlrg ard arLcaLrg r rohlc rarcal LrarsacLors (scc g. 2).
>5?@"=A"S.?;/,6)*B"8;*4.'"()*"+)85/.")<.*,6)*1"5'"+)85/."8,'C5'?
H'657+)'.B"/,;'4.*5'?"UH3RV",'4"0)+8,65'?")("(5','05'?")("6.**)*51+"UW>-V
ANL ard Cl1 rcgulaLor alcs rarly Lo cashr ard cashouL ssucs assocaLcd wLh a
rohlcharkrg or rohlcrorcyLrarscr scrvcc. 1hcrcorc, L s rosL rclcvarL Lo hrarchlcss
or rohlc harkrg r dcvclorg rarkcLs, whcrc harkrg scrvccs arc hcrg ocrcd Lo
rdvduals rcvously urkrowr Lo Lhc rarcal scrvccs sysLcr. ANL/Cl1 sLardards havc
hccr dcrcd hy Lhc lrarcal AcLor 1ask lorcc (lA1l), ar rLcrgovcrrrcrLal hody. 1hcsc
sLardards dcrc Lhc lcvcl o duc dlgcrcc rcqurcd hy a hark, ayrcrL scrvcc rovdcr (lSl)
or rohlc ocraLor r ordcr or Lhcr Lo vcry ard auLhcrLcaLc a oLcrLal cusLorcr`s dcrLLy.
1hc duc dlgcrcc roccss, "lrow Your CusLorcr" (lYC), Lycally rcqurcs a corhraLor o
crsoral rorraLor sulcd hy Lhc cusLorcr ard chccks agarsL a rurhcr o LhrdarLy
daLahascs whcr ar accourL s ocrcd. 1hc ANL ard Cl1 rcgulaLors car osc dculLcs or
rohlc ocraLors or lSls r arLcular courLrcs whcrc rorrarcal rsLLuLors (.c., Lhosc
wLhouL rarcal scrvccs lccrscs) arc roL allowcd Lo carry ouL Lhc duc dlgcrcc roccss or
hchal o harks.
1hs s arLcularly rorLarL whcr Lhc urcLor o rccruLrcrL o cusLorcrs ard accourL
crcaLor s ouLsourccd Lo LhrdarLy agcrLs. lor cxarlc, r Lhc casc o "vrLual harks" lkc
WlZZl1 r SouLh Arca, whch havc ro hrarch rcLwork Lhrough whch cusLorcr rLcrvcws
car Lakc lacc, lYC rulcs car rosc a hcavy hurdcr or cusLorcr acqusLor. lr sorc
rcgulaLory rcgrcs, lYC rulcs havc hccr rclaxcd Lhc cusLorcr accourL ard valuc o
LrarsacLors rcrar wLhr ccrLar (low) Lhrcsholds.
&11;,'0.",'4"4.<)156"6,C5'?
1hs s crhas Lhc rosL rorLarL rcgulaLory ssuc or a rohlc ocraLor or Lhrd arLy
LhaL rLcrds Lo laurch a rohlcharkrg scrvcc wLhouL Lhc cxlcL suorL ard drccL
rvolvcrcrL o a hark. lr sorc rarkcLs, rcgulaLors crrL or do roL cxlcLly rcvcrL
rorharks ror ssurg accourLs (.c., Lakrg ard holdrg dcosLs or hchal o rdvduals).
1hs s Lhc casc r lcrya ard Lhc lhlrcs whcrc Lhc Nlcsa ard GCash rohlcharkrg
scrvccs, rcsccLvcly, havc hccr laurchcd hy rohlc ocraLors rdccrdcrLly o harks.
1hc rcgulaLors ray also rlucrcc whcLhcr a rohlc ocraLor car hosL ard raragc rohlc
harkrg accourLs or hchal o a lccrscd hark, Lhs ray hc hcrccal ror Lhc hark`s orL
o vcw hccausc o rlcrcrLaLor ard ocraLoral ssucs. lr sorc rarkcLs, rcgulaLors
rohhL rorharks, rcludrg rohlc ocraLors, ror holdrg a harkrg lccrsc ard r Lhcsc
courLrcs Lhc rorhark rusL arLrcr wLh a lccrscd hark.
.3)'.B
RcgulaLors r a rurhcr o courLrcs allow rorharks Lo acccL rorcy ror a cusLorcr
ard sLorc L r ar clccLrorc dcvcc whch car hc orlrc, r a card or a rohlc horc.
1hs s Lhc corccL o Lhc rohlc wallcL or sLorcd valuc accourL (SVA). 1hc rsks, Lo Lhc
corsurcr ard Lhc rarcal scrvccs rdusLry, o Lhcsc cNorcy scrvccs arc grcaLcr Lhar
!!!"#$%&'()*("+&( !" #$%%" &'()*+," -./.0)+1" 2" 3.45," %$
rohlcayrcrL scrvccs huL roL as grcaL as corvcrLoral dcosLLakrg. 1ycally, cNorcy
acLs as a surrogaLc or cash ard cccLvcly rcrars wLh Lhc cusLorcr aL all Lrcs (lkc a
wallcL), whcrcas dcosLLakrg crahlcs harks Lo usc rorcy rovdcd hy Ls cusLorcrs or
lcrdrg or rvcsLrcrL (lkc a savrgs accourL) whch rcqurc grcaLcr ovcrsghL ard corlarcc
Lhar cNorcy accourLs. lurLhcrrorc, Lhc surs rvolvcd r cNorcy arc Lycally lowcr Lhar
Lhosc hardlcd hy LradLoral harks. UrorLuraLcly, rcgulaLor r sorc rarkcLs has ycL Lo
ad|usL Lo Lhc dcrcrccs hcLwccr cNorcy rsLLuLors ard LradLoral harks, crcaLrg harrcrs
Lo rohlc ocraLors ard oLhcrs wshrg Lo ocr rohlcharkrg scrvccs.
1hc rulcs govcrrrg Lhc dcloyrcrL ard ocraLors o clccLrorc rcLalrg ard harkrg havc
a drccL racL or Lhc dcsgr ard rlcrcrLaLor o Lhc rohlcharkrg scrvcc, ard r Ls
ocraLoral roccsscs. lssucs such as cusLorcr rvacy ard roLccLor, cusLorcr corlarLs
ard rcdrcss, daLa roLccLor ard sccurLy, LrarsacLor rorLorrg Lo roLccL agarsL raud, rsk
raragcrcrL wll rccd Lo hc addrcsscd. Howcvcr, carc rusL hc Lakcr LhaL rulcs csLahlshcd
or corvcrLoral harkrg, ard cvcr clccLrorc harkrg ard LrarsacLors, ray roL hc crLrcly
aroraLc or rohlc harkrg. Barks ard rohlc ocraLors wll rccd Lo work closcly wLh
Lhc rcgulaLors ard harkrg auLhorLcs Lo crsurc LhaL rulcs arc roL rohhLvcly rcsLrcLvc or
rcw rohlcharkrg scrvccs.
J,B+.'61"*.?;/,65)'
layrcrLs rcgulaLor varcs corsdcrahly ror rarkcL Lo rarkcL huL Lhcy all Lcrd Lo hc hascd
or rudcrLal rulcs (.c., or Lhc hass o rcasurrg ard raragrg rsks Lo Lhc corsurcr ard
raLoral rarcal sysLcrs).
Orc cxarlc o rskhascd, rudcrLayrcrL rcgulaLor s Lhc Lurocar Corrssor`s
layrcrL Scrvccs DrccLvc (lSD), whch was adoLcd r Novcrhcr 2009 across Lhc LU. 1hc
LC rLroduccd Lhc lSD r ordcr Lo rakc crosshordcr ayrcrLs wLhr Lhc LU as srlc
ard sccurc as ayrcrLs wLhr Lhc sarc courLry. 1hc lSD also ars Lo addrcss a crccvcd
lack o corcLLor r ayrcrL scrvccs wLhr Lhc LU, whcrc harks arc oLcr sccr Lo
cr|oy a rvlcgcd corcLLvc osLor. 1hc oh|ccLvcs o Lhs drccLvc arc Lo gcrcraLc rorc
corcLLor, rcrcasc rarkcL Lrarsarcrcy or rovdcrs ard uscrs, ard sLardardzc rghLs
ard ohlgaLors o rovdcrs ard uscrs o ayrcrL scrvccs.
1hc ollowrg acLvLcs arc auLhorzcd urdcr Lhc lSD.

Norcy rcrLLarcc.

layrcrL LrarsacLors carrcd ouL hy rohlc ocraLors.

lullrargc ayrcrLscrvccs rovdcrs (crcdL Lrarscrs, drccL dchLs ard card

ayrcrLs).

layrcrLrclaLcd scrvccs, such as orcgr cxchargc scrvcc, sackccrg acLvLcs ard

ocraLor o ayrcrL sysLcrs or Lhc ayrcrL scrvcc
1hc rosL rorLarL asccL o Lhc lSD s LhaL L allows rorharks, rcludrg rohlc ocraLors,
Lo ocr ayrcrL scrvccs wLhouL a harkrg lccrsc. Howcvcr, L docs lacc rorLarL
ohlgaLors or Lhc rorhark, or cxarlc, a ayrcrL scrvcc rovdcr rusL rccL ccrLar
caLal rcqurcrcrLs or ar orgorg hass as wcll as havrg a ccrLar arourL o rLal caLal.
1hcsc caLal rcqurcrcrLs arc aroraLc Lo Lhc lowcr rsk rvolvcd r rohlc ayrcrL
scrvccs r Lcrrs o LrarsacLor valucs, ard arc Lhcrcorc r corarsor, lowcr Lhar Lhc caLal
rcqurcrcrLs or harks.
F5'?/.":;*)<.,'"J,B+.'6"H*.,"UF:JHV"5'565,659.
lr Luroc, orc o Lhc rosL rorLarL acLors r Lhc dcvclorcrL o orlrc harkrg s
Lhc Srglc Lurocar layrcrL Arca (SLlA) rLaLvc. SLlA orrs arL o Lhc roccss o
Lurocar rLcgraLor urdcrLakcr hy Lhc Lurocar CcrLral Bark r assocaLor wLh Lhc kcy
rdusLry laycrs rcludrg Lhc harks, crcdL card corarcs ard uhlc auLhorLcs such as Lhc
Lurocar Corrssor. 1hc ro|ccL s raragcd hy Lhc Lurocar layrcrLs Courcl (LlC) ard
rcrcscrLs Lhc rcxL ra|or sLc Lowards closcr Lurocar rLcgraLor hy crahlrg cusLorcrs Lo
rakc rorcash curo ayrcrLs Lo ary hcrccary locaLcd arywhcrc r Lhc Luro Arca usrg
a srglc hark accourL. 1hs wll rcar LhaL all rcLal ayrcrLs r curos wll hc "dorcsLc",
ard Lhcrc wll ro lorgcr hc ary dcrcrLaLor hcLwccr raLoral ard crosshordcr ayrcrLs
wLhr Lhc Luro Arca.
1hc LlC s row also dcvclorg rohlc charrcls or Lhc rLaLor ard rcccL o SLlA crcdL
Lrarscrs, drccL dchLs ard card ayrcrLs. lL s workrg wLh Lhc NCharrcl LxcrL Grou ard
scrvcc rovdcrs Lo dcrc Lhc hasc rcqurcrcrLs, rulcs ard sLardards rcccssary Lo cxccuLc
rohlc ayrcrLs across Lhc 2l SLlA courLrcs. Norc rorLarLly, Lhs rLaLvc ars Lo crcaLc
rLcrocrahlLy o scrvccs dclvcrcd hy dcrcrL laycrs r Lhc rohlc ayrcrLs rarkcL.
!!!"#$%&'()*("+&( !" #$%%" &'()*+," -./.0)+1" 2" 3.45," %%
W,1M75'X0,1M7);6",'4"6M.";1.")(",?.'61
A corc cororcrL o ary rohlcharkrg, ayrcrL or rorcyLrarscr scrvcc s Lhc aclLy
Lo crahlc cusLorcrs Lo dcosL cash rLo ard wLhdraw cash ouL o Lhcr rohlc accourLs.
lor Lhs, auLhorzcd agcrLs ard orgarzaLors arc rccdcd ard r rary rarkcLs Lhcrc arc
sgrcarL rcgulaLory rcsLrcLors or whaL Lyc o orgarzaLor s allowcd Lo hardlc cash or
hchal o Lhc harks. 1hcsc rcsLrcLors, or r sorc cascs Lhc lack o clcar gudarcc, or Lhc usc o
agcrLs rcludrg Lhc rohlc ocraLors` rcLal rcLworks Lo rovdc Lhc cashr ard cashouL
aclLy havc sgrcarL rlcaLors or rohlc harkrg sLraLcgcs. lr sorc rarkcLs, harkrg
agcrLs rusL hc arovcd hy Lhc ccrLral hark (c.g., Brazl).
1hc uLurc o rohlc harkrg wll rcly hcavly or Lhc crcaLor o a corcllrg valuc
roosLor or Lhc corsurcr hascd or.

!"#$%&'() lcrccvcd sccurLy ard LrusL r Lhc scrvcc hascd or Lhc hrards hchrd L.

!*""+) Rclahlc ard asL acccss Lo accourL rorraLor 24/7 ard asL, dcally
rsLarLarcous, LrarsacLors va a srlc ard casy Lo usc rLcracc.

,-./".&".#") Local cashr/cashouL aclLcs (ro rccd Lo Lravcl lorg dsLarccs Lo

dcosL or wLhdraw cash).

0-12 #-3') CosLs rusL hc kcL dowr hy usrg cxsLrg rrasLrucLurcs ard sysLcrs
whcrc osshlc, ard kccrg Lhc roducLs ard roccsscs as srlc as osshlc.

415%"."33) 1hc rdusLry rccds a corccrLcd rarkcLrg corL hy all laycrs r Lhc
ccosysLcr Lo roroLc ard cducaLc.
Y)9.*'+.'6"5'6.*9.'65)'
Clcarly Lhc rLroducLor o rohlc or hrarchlcss harkrg has sgrcarL rlcaLors or Lhc
dcvclorcrL o Lhc ccorory ard socal cordLors r dcvclorg courLrcs. CorscqucrLly L s
a Lrcrd urdcr closc scruLry, ard rcrcasrg rLcrvcrLor, ror Lhc rcgulaLory auLhorLcs. 1hc
Lwo rosL rorLarL ssucs or Lhc auLhorLcs arc corcLLor olcy ard rarcalscrvccs
rcgulaLor. 1hc rohlc rarkcL r rosL courLrcs s dorraLcd hy orly Lwo or Lhrcc ocraLors
ard havrg so cw laycrs dorraLc Lhc rohlc harkrg rarkcL s roL a alaLahlc oLor
or harkrg rcgulaLors ard corcLLor auLhorLcs. lurLhcrrorc, allowrg ocraLors Lo ocr
harkrg ard rarcal scrvccs also laccs grcaLcr rcssurc or Lhc rccd Lo roLccL uscrs ard
dscouragc rorcy laurdcrrg.
lr rary courLrcs, orly lccrscd harks arc allowcd Lo collccL dcosLs. 1hcrcorc a rohlc
ocraLor rusL arLrcr wLh a hark r ordcr Lo ocr hrarchlcss harkrg scrvccs. BuL r dorg
so, Lhc rohlc ocraLor ard Ls agcrLs ray havc Lo corly wLh harkrg rulcs covcrrg
cvcryLhrg ror Lhc hcghL o Lhc courLcr Lo Lhc rsLallaLor o alarrs, ard ray hc rcqurcd
Lo rovdc dcLalcd sLaLcrcrLs Lo Lhc ccrLral hark cvcry wcck. Adhcrrg Lo Lhcsc rulcs ray
rovc dculL, ard cxcrsvc, csccally or agcrLs r rcroLc arcas. lurLhcrrorc, rarcal
scrvccs lcgslaLor oLcr dcrards sLrcL adhcrcrcc Lo rulcs rcgardrg Lhc dcrLcaLor ard
rcgsLraLor o rdvdual cusLorcrs ocrrg ar accourL, or rovrg cvcr rodcsL arourLs o
rorcy.
Sorc o Lhcsc rulcs, whch arc oLcr hascd or ar ouLdaLcd vcw o Lhc raLurc o harkrg,
arc hcrg rclaxcd. SLrcL roo o dcrLLy ray roL hc rccdcd or sorc cusLorcrs gvcr Lhc
srall surs rvolvcd. Sorc cxsLrg hrarchlcssharkrg schcrcs scL a lrL or Lhc szc o
LrarsacLors LhaL s low crough Lo dcLcr rorcylaurdcrcrs huL hgh crough Lo saLsy rosL
cusLorcrs.
Clcarly ary rcw lcgslaLor rusL hc ocr crough Lo allow rcw scrvccs ard rcw scrvcc
rovdcrs Lo crcrgc, rovdcd rcgulaLory ovcrsghL ard corsurcr roLccLor rcasurcs arc
r lacc. 1hc rcgulaLory aroach hcrg Lakcr r Lhc lhlrcs rovdcs a good rodcl.
RaLhcr Lhar Lryrg Lo work ouL Lhc hcsL rulcs r advarcc, whch could harcr rrovaLor, Lhc
rcgulaLor s workrg closcly wLh Lhc harks ard ocraLors hchrd Lhc courLry's Lwo oular
rohlcharkrg scrvccs SrarL Norcy ror SrarL CorrurcaLors ard GCash ror Glohc
1clccor. 1hc rcgulaLor s ohscrvrg how Lhc rarkcL dcvclos, ard Ls cxcrcrcc ard LhaL
o Lhc ocraLors s cd rLo Lhc lcgslaLvc roccss, hclrg Lo rovdc sorc lcxhlLy ard
rlucrcc or Lhc ocraLors.
3)85/.",<</50,65)'"16)*.1
1hc growrg usc o rohlc as wLhr Lhc srarLhorc alcaLor sLorcs ard, r arLcular,
Lhc ocus o rary hrards ard orgarzaLors or havrg a srarLhorc a as a rarkcLrg
ard hrardrg Lool rcars LhaL ro lcadrg hark car row aord Lo grorc havrg a rohlc
alcaLor rrarly r Alc`s A SLorc, Googlc`s Ardrod NarkcL ard RlN`s BlackBcrry
A World.
!!!"#$%&'()*("+&( !" #$%%" &'()*+," -./.0)+1" 2" 3.45," %#
1hc rohlc harkrg cxlosor r Luroc ard NorLh Arcrca ovcr Lhc asL Lwo ycars has
hccr drvcr hy Lhc rohlc a hcrorcror scarhcadcd hy Lhc lhorc. lgurcs rclcascd hy
CorScorc show LhaL, o Lhc 20 rllor Lurocars who arc rcgularly usrg rohlc harkrg
scrvccs, 70 arc srarLhorc uscrs Lhosc wLh lhorcs arc Lhc rosL rcqucrL uscrs,
acccssrg rharkrg scrvccs Lwcc as ruch as Ardroddcvcc owrcrs.
lr Narch 20ll, Sarsh hark BarkrLcr also rcvcalcd LhaL 52 o Ls rohlc harkrg Lrac
corcs ror lhorc uscrs. Ardrod a uscrs accourLcd or aroLhcr l2 o Lrac. So, rohlc
as arc row dwarrg Lrac ror Lhc hark`s corrchcrsvc rargc o SNSharkrg scrvccs,
sorc o whch L sLarLcd ocrrg r 2000.
lL s rcvLahlc LhaL as raLvca laLorrs such as Ardrod ard OS add NlC Lools or
dcvclocrs` corLacLlcssayrcrL caahlLcs wll sLarL Lo hc addcd Lo Lhc rohlc harkrg
ocrrgs or Lhosc laLorrs L has alrcady hacrcd r Lhc casc o Ardrod. Ard, |usL as
raLvc as row lcad r rohlc harkrg Lrac, Lhcrc s a hgh rohahlLy LhaL Lhcy wll
also lcad r rohlccorLacLlcssayrcrL Lrac. lr LhaL casc, L wll hc Lhc hardscLcrhcddcd
sccurc clcrcrL avorcd hy raLvcalaLorr rovdcrs LhaL wll hccorc Lhc rar rouLc Lo
rarkcL or harks` ard oLhcr ayrcrL rovdcrs` NlC scrvccs.
@49#$/990(&6/.90)$609/'<#+/06/5.&8(/$*09*')*/28
1hc rargc o rohlcharkrg husrcss rodcls car hc caLcgorzcd or Lhc hass o whch Lyc o
corary csLahlshcs Lhc rclaLorsh (accourL ocrrg, dcosL Lakrg, ard rovdrg crcdL)
wLh Lhc corsurcr Lhc hark, Lhc rohlc ocraLor or ar rdccrdcrL Lhrd arLy.
lr Lhc dcvclocd world, harkccrLrc rodcls Lcrd Lo dorraLc, Lhc scrvcc s rovdcd, ard
hrardcd, alrosL cxclusvcly hy harks. lr Lhc dcvclorg world, Lhc ocraLorccrLrc rodcl
s rosL corror, wLh rohlc ocraLors rovdrg a rohlc wallcL rLo whch urds arc
dcosLcd, cccLvcly acLrg as a hark Lhcrsclvcs. Howcvcr, Lhcrc arc cxccLors Lo Lhcsc
rulcs ard Lhcrc s a wdc sccLrur o husrcss rodcls (scc g. 4).
>5?@"DA"-M."1<.06*;+")("+)85/.78,'C5'?"8;15'.11"+)4./1
Z<.*,6)*7/.4"8;15'.11"+)4./
Whlc harks arc Lakrg Lhc lcad wLh rohlc harkrg r Lhc dcvclocd world, L s Lhc rohlc
ocraLors LhaL arc lcadrg Lhc way r dcloyrg rohlcharkrg scrvccs r Lhc dcvclorg
world. 1hc carly orccrs o rohlc harkrg or Lhc urharkcd arc rosLly ocraLors. SrarL
CorrurcaLors ard Glohc 1clccor r Lhc lhlrcs, Saarcor r lcrya, ard WlZZl1
ard N1N r SouLh Arca. Norc o Lhcsc rohlcharkrg dcloyrcrLs wcrc harklcd
alLhough SrarL, WlZZl1 ard N1N uscd harks Lo rarLar cusLorcr accourLs. All Lhcsc scrvcc
dcloyrcrLs, cxccL or WlZZl1, whch s ar rdccrdcrL scrvcc rovdcr wLh a harkrg
arLrcrsh wLh Lhc SouLh Arcar Bark o ALhcrs, wcrc lcd hy rohlc ocraLors. Glohc ard
Saarcor dcvclocd Lhcr rohlcharkrg scrvccs wLhouL ary drccL hark arLcaLor aL
all.
lr Lhc ocraLorccrLrc rohlcharkrg rodcl, Lhcrc s ro drccL rvolvcrcrL o a hark oLhcr
Lhar as a sorsorrg hark (.c., a sackcccr o surlus urds Lhc loaL accourL). lr Lhs
rodcl, cusLorcrs arc rovdcd wLh a rohlc wallcL a rohlccrahlcd sLorcd valuc accourL
(SVA) ard L s Lhc rohlc ocraLor LhaL crorrs all harkrg urcLors, rcludrg LrarsacLor
roccssrg ard dcosL holdrg as wcll as salcs ard dsLrhuLor o Lhc scrvcc. CusLorcrs car
roccss LrarsacLors hcLwccr SVAs r rcal Lrc ard Lhc sysLcr Lycally rccorclcs accourLs
or a daly hass va Lhc sorsorrg hark`s loaL accourL. So, cvcr r Lhcsc ocraLorccrLrc
rodcls, a hark rusL hc rvolvcd Lo sorc dcgrcc.
1hc acL LhaL rohlc ocraLors raLhcr Lhar harks havc lcd Lhc way r dcloyrg rohlc
harkrg scrvccs r rary rarkcLs car hc aLLrhuLcd Lo a rurhcr o rcasors.
!!!"#$%&'()*("+&( !" #$%%" &'()*+," -./.0)+1" 2" 3.45," %=

65%7"'2%"5#8) 1hc rohlc ocraLors` corc husrcss casc s hascd or radly dcvclorg
raLorwdc rrasLrucLurc ard rarkcLrg Lhcr scrvccs Lo as hroad ar audcrcc as
osshlc. Hcrcc, rohlc ocraLors havc drvcr rohlc crcLraLor Lo rcrcdhly hgh
lcvcls corsdcrrg Lhc vcry low avcragc rcorcs r Lhcsc rarkcLs. CorscqucrLly, Lhc
rohlc rrasLrucLurc ard acccss Lo L rcachcs ruch urLhcr rLo Lhc oLhcrwsc ur
scrvcd rural arcas Lhar Lhc LradLoral harkrg rrasLrucLurc docs. Barks, or Lhc oLhcr
hard, arc rorc drvcr hy sccc cusLorcr ard scgrcrL roLahlLy ard vcw Lhc
rohlc charrcl as a rcars o addrg valuc Lo scrvccs or cxsLrg cusLorcrs raLhcr
Lhar rcachrg ouL Lo rcw rarkcL scgrcrLs.

9&3'%&:$'&-.) Bccausc o Lhc rcdsosLor Lowards rcad hllrg or lowrcorc

ard hghcrcdLrsk corsurcrs, rohlc ocraLors havc had Lo dcvclo largc rcLworks
o LhrdarLy agcrLs Lo scll arLrc Lou vouchcrs or Lhcr hchal. 1hs rcady
radc agcrL rcLwork gvcs Lhc rohlc ocraLors a sLrorg osLor ror whch Lo
sLarL hrarchlcss harkrg ocraLors wLhouL Lhc rccd Lo scL u a raLoral rcLwork
o hrarchcs or cash rachrcs. 1hc orccrrg rohlcharkrg scrvccs ror rohlc
ocraLors r Lhc lhlrcs, lcrya ard SouLh Arca allow cusLorcrs Lo dcosL ard
wLhdraw cash Lhrough Lhc ocraLor`s arLrcrcsalc agcrLs, ard scrd rorcy Lo oLhcr
colc va LcxL rcssagcs LhaL car hc cxchargcd or cash hy vsLrg ar agcrL.

;<&3'&.=2 '%5.35#'&-.5>2 &.?%53'%$#'$%") 1hc rohlc ocraLors` husrcss s hascd or

raragrg hgh volurcs o lowvaluc LrarsacLors, Lhrough Lhc ocraLors o rcal
Lrc chargrg sysLcrs or rcad hllrg. AlLhough rLally sorc cxsLrg rcad
laLorrs rovcd radcquaLc or vcry hgh LrarsacLor volurcs, cxsLrg vcrdors
havc rcrcascd LhroughuL sgrcarLly ard addcd accourLrg urcLoralLy. Ncw
vcrdors havc also crLcrcd Lhc rarkcL wLh uroschulL rohlc harkrg laLorrs.
lurLhcrrorc, r ordcr Lo rcducc Lhc hgh cosLs o dsLrhuLor o arLrc Lou
vouchcrs, rohlc ocraLors havc alrcady rLroduccd clccLrorc, ovcrLhcar Lou
alcaLors, crahlrg Lhc Lrarscr o valuc ror orc accourL Lo aroLhcr, whch
rovdcs ar dcal laLorr or rorcyLrarscr scrvccs.

@%5.+2 5??&.&'() Arorg Lhc urharkcd, L s oLcr Lhc rohlc ocraLor LhaL s LrusLcd
rorc Lhar Lhc harks. 1hrough Lhcr arlarLy wLh ard r rary cascs Lhc
crowcrrg racL o Lhc rohlc horc, rohlc corsurcrs havc a grcaLcr arLy
wLh Lhc rohlc ocraLor hrard. Barks havc also garcd a rcuLaLor o "rrg o"
Lhosc or low rcorcs as Lhc chargcs alcd Lo accourLs ard LrarsacLor ccs radly
caL rLo Lhcr low accourL halarccs.
Howcvcr, dcsLc Lhc rLal Lrcrd Lowards ocraLorlcd rohlc harkrg rLaLvcs, Lhcsc arc
lkcly Lo rcrar r Lhc rrorLy r Lhc uLurc as Lhc rarkcL cxards hcyord Lhs srall grou
o courLrcs. LxccL or a cw cxccLoral cascs, such as Saarcor ard Glohc, ulLraLcly
ary hrarchlcss harkrg scrvcc wll rcqurc ocraLoral ard rcgulaLory suorL ror a hark.
Nohlc ocraLors rccd Lhc harks as a shorLcuL Lo ohLarrg harkrg lccrscs ard or Lhcr
cxcrLsc r Lhc rorcy rarkcLs, cash raragcrcrL ard raud rcvcrLor. Barks rccd rohlc
ocraLors or Lhcr wdcsrcad clccLrorc ard rcLal dsLrhuLor rcLworks r arcas whcrc Lhcr
rcscrcc s rcglghlc.
Nohlcharkrg dcloyrcrLs r dcvclorg rarkcLs havc rosLly hccr ocraLorlcd huL rary
harks havc row also rcalzcd Lhc oLcrLal o usrg rohlc as a Lool Lo cxLcrd Lhcr rcach
as wcll as Lo scrvc Lhcr cxsLrg cusLorcrs hcLLcr. Lxarlcs rcludc Lcrl harks lClCl Bark
r lrda, ard rcrorarcc harks lkc LquLy Bark r lcrya, whch s ggyhackrg or Lhc
succcss o Nlcsa, ard 1arccr Bark r laksLar.
NohlcocraLorlcd arLrcrshs wLh harks or oLhcr rarcal rsLLuLors arc also corror
r rohlcharkrg scrvcc ocrrgs r Lhc dcvclorg world. 1hc rohlc ocraLor rovdcs
Lhc charrcl Lo rarkcL, oLcr va Ls csLahlshcd arLrc rcscllcr agcrL rcLwork ard rosL
oLcr Lhc ocraLor also raragcs Lhc cusLorcrscrvcc ard LrarsacLorroccssrg urcLors.
Howcvcr, Lhc scrvcc s ocrcd r arLrcrsh wLh a hark whch has Lhc harkrg lccrsc
rcccssary Lo ocraLc Lhc scrvcc, ard Lo Lakc ard hold dcosLs. Lxarlcs o Lhs rodcl rcludc
SrarL Norcy r Lhc lhlrcs ard N1N Barkrg r SouLh Arca.
37J.1,
OcraLors rorrally rccd a harkrg lccrsc or arLrcrsh wLh a hark Lo rovdc rohlc
harkrg scrvccs. 1hc Nlcsa soluLor cscacs hcrg classcd as a harkrg scrvcc hy
osLorrg Lscl as a rorcyLrarscr sysLcr (urdcr Lhc raLhcr lhcral lcryar harkrg
rcgulaLors) as L docs roL rvolvc dcosLLakrg or Lhc urosc o rvcsLrg or lcrdrg.
Howcvcr, or rary o Ls cusLorcrs, Nlcsa rcscrhlcs a harkrg scrvcc ard Lhcy usc Lhc
rohlc wallcL as Lhcr hark accourL.
!!!"#$%&'()*("+&( !" #$%%" &'()*+," -./.0)+1" 2" 3.45," %D
1hc Nlcsa scrvcc laLorr, dcvclocd rhousc hy Vodaorc ard Lhc corsulLarcy SagcrLa,
rLcgraLcs a rohlc wallcL wLh Saarcor`s raLrg, hllrg ard rovsorrg sysLcrs. 1hc N
lcsa alcaLors rur or a sccalsL SlN, sulcd hy Saarcor, r a SlN LoolkL crvrorrcrL
ard corrurcaLc wLh Lhc Nlcsa hackocc sysLcrs usrg crcryLcd SNS rcssagcs. 1hc
sccurLy laycr s rovdcd hy rcalLrc, hurar vcrcaLor o hoLo lD ard usc o a sccrcL
llN codc durrg Lhc dcosL or wLhdrawal o urds. 1hc scrvcc laLorr corcs wLh a ull
LrarsacLorLrackrg ard rcorLrg sysLcr, cusLorcr carc ard suorL ard ANL rcasurcs.
1hc schcrc car ocraLc as a urc harkrg scrvcc, whcrc uscrs dcosL cash aL orc o Lhc
agcrL sLorcs r rcLurr or ar cvaluc cash vouchcr. 1hc sLorcd valuc car Lhcr hc Lrarscrrcd Lo
ar aorLcd agcrL r aroLhcr arL o Lhc courLry. 1o wLhdraw rorcy, Lhc suhscrhcr vsLs
ar agcrL ard Lhcr scrds a wLhdrawal corrard Lo Nlcsa, rcludrg a llN rurhcr ard Lhc
rcrcharL`s lD. BoLh Lhc suhscrhcr ard Lhc rcrcharL wll Lhcr rcccvc ar auLhorzaLor ror
Nlcsa ard Lhc cash wll hc ad ouL suh|ccL Lo lD vcrcaLor.
1hs rcars LhaL, or cxarlc, a cusLorcr warLs Lo Lrarscr rorcy Lo sorcorc r aroLhcr
Lowr, all hc or shc rccds Lo do s ay Lhc rcccssary arourL r cash Lo Lhc agcrL who Lhcr
ssucs Lhc cusLorcr wLh a sccrcL llN codc, whch car hc scrL va SNS Lo Lhc rcccrL. 1hc
rorcy s rsLarLarcously Lrarscrrcd rLo Lhc local agcrL`s accourL ard Lhc rcccrL car
wLhdraw Lhc rorcy ror ary local agcrL usrg Lhc llN codc (scc g. 5). Cash car Lhcrcorc
hc scrL Lo ary oLhcr rohlc uscr roL rcccssarly ar Nlcsa uscr va Lhc rohlc horc usrg
a srlc SNS rsLrucLor. CusLorcrs car also load Nlcsa accourLs Lhrough Lhc sarc Lou
rcLwork Lhcy usc Lo load Lhcr rohlc rcad accourL.
>5?@"IA"-M."37J.1,"6*,'1,065)'"1B16.+
AL Lhc corc o Lhc Nlcsa scrvcc s a ccrLral loaL wLhr whch cusLorcrs havc a urquc
accourL ard hold Lhcr halarccs scaraLcly ror Lhcr rcad arLrc crcdL. 1hc Nlcsa
loaL s harkcd wLh Lhc Corrcrcal Bark o Arca, huL Lhc harkrg corLracL or Lhc
loaL s raragcd hy a scaraLc crLLy, 1rusL Co. lL s Lhrough 1rusL Co ard scrvcc lcvcl
agrccrcrLs wLh Saarcor LhaL accourL rclaLorshs arc raragcd roL hcLwccr Lhc hark
ard rdvdual Nlcsa cusLorcrs. Howcvcr, Nlcsa cusLorcrs urchasc cNorcy whch s
always raLchcd hy rcal rorcy hcld r a hark accourL huL Lhc accourL s roL a Lruc "hark"
accourL r Lhc corvcrLoral scrsc as 1rusL Co s urahlc Lo rvcsL urds ard ocrs ro rLcrcsL
or crcdL Lo Nlcsa cusLorcrs.
3)85/.78,'C5'?"8;15'.11"0,1."()*")<.*,6)*1
lor rohlc ocraLors ollowrg Lhc ocraLorccrLrc or ocraLorlcd husrcss rodcls, Lhc
rrary husrcss drvcr Lo ocr rohlc harkrg scrvccs s Lo cxLracL grcaLcr valuc ouL o Lhcr
rohlc ard dsLrhuLor rcLworks hy gcrcraLrg rcw rcvcruc sLrcars ror Lhcr cxsLrg
hasc o rohlc cusLorcrs. AroLhcr kcy drvcr or rary ocraLors Lo rovc rLo rohlc harkrg
has hccr Lhc rccd Lo rcducc cosLs o scllrg rcad arLrc, lcadrg Lo Lhc dcvclorcrL o a
hroad rcLwork o rcscllcrs whch Lhcr hccorc oLcrLal agcrLs or cashr/cashouL.
lr dcvclorg rarkcLs r arLcular, ARlU s vcry low ard Lhcrcorc ary valucaddcd scrvcc
LhaL crcouragcs cusLorcrs Lo usc Lhc rcLwork rorc car add sgrcarLly Lo Lhc hoLLor lrc.
!!!"#$%&'()*("+&( !" #$%%" &'()*+," -./.0)+1" 2" 3.45," %I
lurLhcrrorc, Lhc rovsor o harkrg scrvccs dclvcrs a rcw urLacd rcvcruc sourcc or
Lhc ocraLors. Arorg Lhc urharkcd sccLor, Lhcrc s a wllrgrcss Lo ay or rarcal scrvccs,
whch s roL always Lruc arorg Lhc harkcd sccLor, whch oLcr do roL ay or Lhcr harkrg
scrvccs drccLly.
G,'C7/.4"8;15'.11"+)4./
1hc cxLrcrc crd o Lhc husrcss rodcl sccLrur s whcrc Lhc hark Lakcs or Lhc rolc o
Lhc rohlc ocraLor ard hccorcs ar NVNO, huyrg wholcsalc acccss Lo a rohlc ocraLor`s
rcLwork ard rcLalrg Lhc rohlc scrvcc urdcr Ls owr hrard. 1hs crahlcs Lhc hark Lo corLrol
Ls scrvccs corlcLcly rdccrdcrLly ror Lhc ocraLor. By sulyrg Ls owr SlNs, L car
ocr scrvccs rdccrdcrLly whlc raragrg sccurLy crdLocrd. Lxarlcs o Lhs aroach
rcludc Rahohark r Lhc NcLhcrlards ard BarkLcr r Sar.
1hc harklcd arLrcrsh rodcl s Lycal o rary rohlcharkrg scrvccs hcrg dcvclocd
hy Nlls such as Lhc scrvcc hy 1arccr Bark r laksLar. lor srall harks ard Nlls r
dcvclorg rarkcLs, rohlc harkrg ocrs a rcal alLcrraLvc Lo corvcrLoral hrarchhascd
harkrg, huL rcqurcs arLrcrsh wLh Lhc rohlc ocraLor or Lhc dclvcry o Lhc alcaLor/
scrvcc ard acccss Lo Ls dsLrhuLor rcLwork. 1hc harklcd rodcl ray hc rlcrcrLcd hy
cLhcr usrg corrcsordcrL arrargcrcrLs or crcaLrg a |orL vcrLurc hcLwccr Lhc hark ard
ocraLor. lr Lhs rodcl, Lhc cusLorcr accourL rclaLorsh rcsLs wLh Lhc hark.
Barquc loularc du Rwarda (BlR), a local corrcrcal hark r Rwarda, has rcgsLcrcd
ovcr l20,000 rohlcharkrg uscrs wLhr a ycar. lLs rohlcharkrg scrvcc was laurchcd
r AugusL 20l0 ard aLLracLcd 52,500 uscrs wLhr sx rorLhs. Accordrg Lo BlR`s rohlc
harkrg roducL raragcr, Lhc scrvcc aLLracLcd S0,000 rorc uscrs wLhr a wcck durrg
uly 20ll r a roroLoral caragr LargcLcd aL Lhc rural oulaLor. Nohlcharkrg
cusLorcrs arc ahlc Lo cr|oy addLoral scrvccs such as Lhc ahlLy Lo Lrarscr rorcy Lo ror
accourL holdcrs Lhrough Lhc A1N cashouL scrvcc. BlR rovdcs rohl harkrg scrvccs r
arLrcrsh wLh 1go ard N1N Rwarda
Ar alLcrraLvc harklcd arLrcrsh rodcl, Lycal o rary rohlc harkrg scrvccs ocrcd
hy LradLoral harks, s hascd or Lhc usc o Lhc rohlc charrcl as ar cxLcrsor o corvcrLoral
hrarchhascd harkrg. 1hc rohlcharkrg scrvcc s usually ocrcd r arallcl wLh oLhcr
alLcrraLvc charrcls such as lrLcrrcL ard Lclchorc harkrg. 1hc hark`s roLvaLor or Lhs
aroach s roL Lo dslacc csLahlshcd charrcls or Lo addrcss rcw rarkcL scgrcrLs huL Lo
add valuc Lo Ls hasc scrvccs ard rcLar cxsLrg cusLorcrs. 1hs rodcl s rosL corror r
Lhc dcvclocd world, whcrc Lhc hark hulds ard hrards Ls owr rohlc harkrg scrvcc, oLcr
wLh Lhc hcl o a rohlcharkrg laLorr vcrdor, ard ocrs Lhc scrvcc rdccrdcrLly o
Lhc rohlc ocraLors, a coulc o cxarlcs arc Bark o Arcrca ard Wclls largo Bark r Lhc
US. 1hs rodcl s hccorrg rorc corror r dcvclorg rarkcLs also, or cxarlc, lNB r
SouLh Arca ard lClCl Bark r lrda.
>[G
lNB`s "Ccllhorc Barkrg" scrvcc was dcvclocd rhousc or a laLorr hascd or USSD
Lcchrology, whch allows Lhc hark Lo dslay ar rLcracLvc rcru or cusLorcrs' rohlc
horcs. By usrg USSD, lNB was ahlc Lo ovcrcorc Lhc kcyword rcqurcrcrLs o SNS wLhouL
rLroducrg Lhc corlcxLcs assocaLcd wLh Lhc WAl roLocol. lNB ourd LhaL Lhc usc o
USSD crcouragcd grcaLcr usagc o Lhc scrvcc as L crahlcd a hcLLcr urdcrsLardrg o Lhc
scrvcc, ard L was suorLcd hy all hardscLs r Lhc rarkcL. lor sccurLy, Lhc llN codc or
Ccllhorc Barkrg s rdccrdcrL o Lhc cusLorcr`s hark card llN. lNB has dcvclocd a ull
color WAl vcrsor o Ccllhorc Barkrg huL Ls usagc s sLll rclaLvcly low r corarsor wLh
Lhc sLardard USSDhascd roducL.
1hc Ccllhorc Barkrg scrvcc s rcc Lo cusLorcrs aarL ror daLa chargcs ror Lhc rohlc
ocraLor currcrLly arourd US$0.20 cr 20 sccords. lr ordcr Lo avod dssaLsacLor a
cusLorcr rurs ouL o arLrc, lNB ocrs a rcc lrk Lo Lhc arLrc Lou sLc. 1hc rosL
oular alcaLors o Lhc scrvcc arc rcad Lo us (>50 o all LrarsacLors) ard halarcc
crqurcs. All hll ayrcrLs ror Lhc hardscL rusL hc rcrcgsLcrcd va LradLoral charrcls
(.c., hrarch, call ccrLcr or orlrc).
lr Arl 200S, lNB laurchcd Ccllhorc Barkrg or Busrcss, a scrvcc arcd aL Lhc SNL
rarkcL, Lo gvc husrcss owrcrs acccss Lo Lhcr husrcss harkrg scrvcc. lr urc 200S, L also
laurchcd rCorLacL Valuc Addcd Scrvcc, whch rovdcs sorc Ccllhorc Barkrg scrvccs
wLhouL Lhc rccd Lo rcgsLcr (c.g., rcad Lou, halarcc crqurcs ard ugradcs Lo Ccllhorc
Barkrg) usrg USSD.
!!!"#$%&'()*("+&( !" #$%%" &'()*+," -./.0)+1" 2" 3.45," %L
OLhcr rrovaLors rcludc Ccll laylorL, a rcroLcayrcrL alcaLor or Ccllhorc Barkrg
cusLorcrs, whch crahlcs orlrc urchasrg drccL ror Lhc hark accourL. As Lhc scrvcc
clrraLcs Lhc rccd Lo rovdc rcrcharLs wLh ary crsoral or accourL dcLals, L s hcrg
osLorcd as a rorc sccurc rcars o orlrc ayrcrL. lNB has also dcvclocd LckcLrg
alcaLors crahlrg cusLorcrs Lo hook arlrc LckcLs usrg Ccll laylorL ard has
rLcgraLcd Ls Ccll laylorL scrvccs wLh a rurhcr o ayrcrL aggrcgaLors.
lr uly 20ll, lNB laurchcd Lhc lNB Barkrg AlcaLor or Ardrod, Alc ard BlackBcrry
dcvccs. lr addLor Lo corror harkrg scrvccs, uscrs wll hc ahlc Lo usc Lhc a Lo rd lNB
hrarchcs ard A1Ns usrg locaLor hascd scrvccs, as wcll as acccss lNB hrarch lsL drccLory
ard rakc rcc calls Lo ary lNB corLacL ccrLcrs.
As aL crd20l0, lNB had 2.5 rllor rcgsLcrcd rohlc harkrg uscrs r SouLh Arca. 1hcsc
uscrs wcrc gcrcraLrg arourd l.2 rllor rohlc harkrg LrarsacLors cr rorLh, worLh
aroxraLcly ZARl22 rllor (US$l7.5 rllor).
1hc lNB rohlcharkrg scrvcc s a good cxarlc o a harklcd husrcss rodcl, ard rclccLs
Lhc aroach Lakcr hy rary harks r Lhc dcvclocd world cxLcrdrg acccss Lo cxsLrg
scrvccs or cxsLrg cusLorcrs. So ar lNB has roL rovcd rLo hrarchlcss harkrg huL Ls wcll
csLahlshcd rohlcharkrg scrvccs could hc a oLcrLal rouLc Lhrough whch L could grow
Ls cusLorcr hasc.
3)85/."8,'C5'?"8;15'.11"0,1."()*"8,'C1
lror Lhc harks` crsccLvc, Lhcrc s sLll corsdcrahlc urccrLarLy rcgardrg Lhc husrcss casc
or rohlc harkrg. lr rosL dcvclocd rarkcLs, rohlcharkrg scrvccs arc gvcr away rcc
huL Lhcy rcur sgrcarL scLu ard ocraLoral cosLs or Lhc harks. lr addLor, harks also
hcar Lhc cosLs o corrccLvLy (.c., or scrdrg rcssagcs Lo Lhc cusLorcrs) alLhough, r sorc
cascs, such as lNB r SouLh Arca, Lhc hark ray hc r a osLor Lo rcgoLaLc sgrcarL
dscourLs or wholcsalc hcarcr chargcs Lharks Lo Lhc hgh volurcs L gcrcraLcs.
1hc rar oorLurLy LhaL rohlc harkrg ocrs Lo harks s Lo rcducc Lhcr cashhardlrg
cosLs ard also Lhcr cosLs assocaLcd wLh cusLorcr hardlrg aL Lhc hrarchcs. 1hc acLual
rvcsLrcrL rccdcd Lo dcloy rohlc harkrg scrvcc s roL hugc or a largc hark, csLraLcd
Lo hc lcss Lhar US$l0 rllor. Nary harks rakc ruch largcr rvcsLrcrLs r cxsLrg lrLcrrcL
harkrg ard oLhcr clccLrorc ayrcrLs scrvcc r Lhc hack occ. Howcvcr, wLh rohlc
harkrg, L s dculL Lo csLraLc Lhc rcLurr a hark car cxccL ror Ls rvcsLrcrL ard Lhc
scrvcc`s orgorg cosLs r as Lhc hcrcLs rrarly savrgs or cusLorcr suorL cosLs ard
rcrcascd cusLorcr loyalLy ard rcLcrLor arc hard Lo quarLy. lor rary harks, rohlc
harkrg s corsdcrcd as Lhc rcxL sLc or ror lrLcrrcL harkrg ard rovdcs srlar hcrcLs
"sLckcr" cusLorcr rclaLorshs ard lowcr dclvcrycharrcl cosLs r corarsor wLh hark
hrarchcs ard A1Ns.
Howcvcr, r Lhc lorgcr Lcrr, rohlc harkrg has Lhc oLcrLal Lo hrrg rcw rcvcrucs or Lhc
harks ror crahlrg osshly asLcr or rorc LrcscrsLvc scrvccs, rcludrg ayrcrLs, ard
rarkcLrg/advcrLsrg oLors lrkcd Lo ayrcrLs such as couors ard rcrLLarccs ror
whch Lhcy car chargc rcrcrcrLal ccs.
lor srallcr harks ard Nlls r dcvclorg rarkcLs, Lhc valuc o rohlc harkrg s r Lhc
ruch lowcr cosLs o rcachrg ard scrvrg a wdclydsLrhuLcd oulaLor r rural arcas whcrc
corvcrLoral harkrg rrasLrucLurc would hc urccororc. DcsLc Lhc low scrdrg owcr
o Lhc ra|orLy o Lhc urharkcd ard urdcrharkcd oulaLor, rohlchascd hrarchlcss
harkrg scrvccs car hc roLahlc as cvdcrccd hy WlZZl1`s cxcrcrcc r SouLh Arca.
-M5*4"<,*6B7/.4"8;15'.11"+)4./
lrsLcad o laurchrg a rohlcharkrg scrvcc r Ls owr rghL urdcr Ls owr hrard, Lhcrc arc
oorLurLcs or rdccrdcrL Lhrd arLcs Lo crahlc rLcrocrahlc rohlcharkrg scrvccs
hy rovdrg a hosLcd laLorr ard hrokcrrg agrccrcrLs hcLwccr rulLlc ocraLors ard
harks. A good cxarlc o Lhs aroach s LhaL o Lhc NorLsc scrvcc r Lhc Ul whch
lrks Lhc ra|or rcLal harks r Lhc Ul Lo all o Lhc Ul`s rohlc ocraLors. 1hs rodcl crcaLcs
avorahlc ccororcs or srall harks ard Nlls, ard also or srallcr rohlc ocraLors.
WlZZl1 r SouLh Arca s aroLhcr good cxarlc o a succcssul LhrdarLylcd rohlc
harkrg scrvcc LargcLcd aL Lhc urharkcd oulaLor (scc hclow).
1hcrc arc rary LhrdarLylcd rohlc ayrcrL scrvccs ror rovdcrs lkc Luu, Ohoay,
ard rChck, whch ocr rohlcwallcL scrvccs ard could also hc classcd as rohlc harkrg.
Howcvcr, Lhs s whcrc Lhc lrc hcLwccr rohlc ayrcrLs ard rohlc harkrg hccorcs
!!!"#$%&'()*("+&( !" #$%%" &'()*+," -./.0)+1" 2" 3.45," %P
hlurrcd hccausc, urlkc WlZZl1, Lhcsc rovdcrs dor`L ocr scrvccs wLh sLardalorc hark
accourLs, orly a rohlc wallcL lrkcd Lo cxsLrg hark accourLs ard/or crcdL cards.
\&]]&-
Alorgsdc Nlcsa, WlZZl1 s sccr as orc o Lhc orccrs o rohlc harkrg. WlZZl1 rovdcs
a lowcosL, LrarsacLoral hark accourL raragcd va Lhc rohlc horc or Lhc rcvously
"urharkcd" scgrcrL o Lhc oulaLor r SouLh Arca. WlZZl1 s a vrLual hark, wLh ro
hrarchcs o Ls owr. lL docs roL havc a harkrg lccrsc huL orrally ocraLcs as a dvsor o
SABA (SouLh Arcar Bark o ALhcrs), whch acLs as a sorsor rLo Lhc ayrcrLs sysLcr ard
s lcgally lahlc or Lhc dcosLs Lakcr. Howcvcr, Lhc hrard s owrcd, ard Lhc ocraLors arc
rur, hy rdccrdcrL crLrcrcrcurs. WlZZl1 s Lhcrcorc a good cxarlc o a LhrdarLylcd
rohlc harkrg scrvcc.
1hc ourdcrs o WlZZl1, Charlcs Rowlrsor (CLO) ard Brar Rchardsor (ND), orgrally
aroachcd Lhc our hg harks r SouLh Arca wLh Lhc dca o addrcssrg Lhc courLry`s l4l5
rllor urharkcd colc. AL LhaL Lrc, Lhcsc harks clL LhaL Lhc urharkcd rarkcL would roL
hc ccororc Lo scrvc. Howcvcr, whcr WlZZl1 Lalkcd Lo Lhc srallcr laycrs, Lhcrc was rorc
rLcrcsL ard L rally orrcd a arLrcrsh wLh SABA ard Lhc corary was laurchcd r 2005.
lr Ls carly days, WlZZl1 hcrcLcd ror scLu asssLarcc ror Lhc lrNark 1rusL, a doror
orgarzaLor whch has Lhc solc oh|ccLvc Lo hrrg rarcal scrvccs Lo Lhc oor r SouLh Arca.
RaLhcr Lhar advcrLsc Lhrough LradLoral charrcls, WlZZl1 uscs a rcLwork o arourd 5,000
agcrLs callcd "Wzzkds", all rcvously urcrloycd, Lo hcl colc sgr u or Lhc scrvcc.
Nary o WlZZl1`s cusLorcrs havc rcvcr had a hark accourL hcorc so Wzzkds, who gcL a
corrssor or cach salc, lay ar cducaLoral rolc.
Ocrrg a WlZZl1 hark accourL s rclaLvcly srlc ard s usually raragcd hy orc o Lhc
Wzzkd agcrLs. 1hc sgru roccss s vcry srlc clcrLs arc roL askcd Lo ll r alcaLor
orrs, suly hoLococd lDs or show roo o rcsdcrcc. lor rosL WlZZl1 cusLorcrs, ro
crcdL chccks arc rcccssary ard sLardard ANL ard lYC rcqurcrcrLs arc wavcd rovdcd
lrLs or Lhc raxrur halarcc ard raxrur LrarsacLor lrLs (ZAR25,000 |US$2,l50] ard
ZAR5,000 |US$520], rcsccLvcly) arc roL cxcccdcd. l Lhcsc lrLs arc cxcccdcd, Lhc WlZZl1
accourL s suscrdcd urLl ull ANL ard lYC corlarcc roccdurcs arc corlcLcd. lL has
hccr rcorLcd LhaL cwcr Lhar l0 o WlZZl1`s cusLorcrs havc cvcr cxcccdcd Lhc raxrur
Lhrcsholds scL ouL r SouLh Arca`s rcgulaLors, llCA.
WlZZl1`s arLrcrsh wLh SABA, whch has rorc Lhar S00 hrarchcs, ard wLh Lhc SouLh
Arcar losL Occ, whch has rorc Lhar 2,500 hrarchcs whcrc dcosLs car hc radc rLo
WlZZl1 accourLs, gvcs WlZZl1 Lhc largcsL dcosL ooLrrL o ary rarcal rsLLuLor r
SouLh Arca.
1hc rosL corror alcaLor uscd or WlZZl1 s Lhc urchasc o arLrc cLhcr or crsoral
usc or or scllrg or Lo oLhcrs who do roL havc a WlZZl1 or oLhcr hark accourL. lL uscs a rcad
rcrg rodcl, wLh chargcs rargrg ror US$0.l2 Lo US$0.55 cr LrarsacLor dccrdrg or
Lhc Lyc cvcr halarcc crqurcs rcur a chargc. 1hcrc s also a sgru cc o US$5, huL ro
rorLhly cc (scc g. 5 or currcrL WlZZl1 chargcs). Howcvcr, WlZZl1 clars LhaL, or a lkcor
lkc hass, L s corsdcrahly chcacr Lhar LradLoral harkrg scrvccs. BoLh A1N ard rohlc
LrarsacLors arc roLccLcd hy a llN codc. 1hc scrvcc s also hackcd hy 24/7 cusLorcr scrvcc
r rulLlc larguagcs.

!!!"#$%&'()*("+&( !" #$%%" &'()*+," -./.0)+1" 2" 3.45," %Q
>5?@"LA"\&]]&-"+)85/."8,'C5'?"0M,*?.1
AlLhough WlZZl1 docs roL uhlczc Ls cusLorcr rurhcrs, L clars Lo havc a suhsLarLal
cusLorcr hasc r lrc wLh Ls husrcss lar. Scrvcc usagc varcs dccrdrg or Lhc Lyc
o cusLorcr ard scasor (rcorc s scasoral or rary cusLorcrs), sorc cusLorcrs rghL
corducL u Lo 20 LrarsacLors cr rorLh whlc rary cusLorcrs crorr orly l2 LrarsacLors
cr rorLh, rosL o whch arc halarcc chccks.
WlZZl1`s rohlcharkrg laLorr s hascd or soLwarc dcvclocd hy Srlus/CorLcl ard
uscs USSD or corrurcaLors hcLwccr Lhc horc ard Lhc hack occ sysLcrs. USSD`s
rcsorsc Lrcs arc quckcr ard L s chcacr Lhar SNS, L also works across all rcLworks ard
hardscLs, rrcsccLvc o agc, ard or all SlN cards crsurrg raxrur rcach or Lhc scrvcc.
3)85/."8,'C5'?"8;15'.11"0,1."()*"6M5*4"<,*65.1
1hcrc arc rurcrous vcrdors o rohlcharkrg laLorrs. 1hcsc vcrdors lay a voLal
rolc r rLcgraLrg Lhc harkrg sysLcr wLh Lhc rohlc ocraLors` ocraLoral ard husrcss
sysLcrs, as wcll as oLcr rovdrg, rarLarrg ard ocraLrg Lhc rohlcharkrg scrvcc or
alcaLor Lhcrsclvcs.
NohlcharkrglaLorr vcrdors lkc lurdaro ard CSar, ard hosLcdscrvcc rovdcrs,
such as rChck ard Norlrk, whch arc hrdgrg Lhc ga hcLwccr harks ard Lhc ocraLors
rusL also hc corcrsaLcd or Lhcr rvcsLrcrL. 1ycally, Lhcsc corarcs wll rcccvc a cr
uscr or crLrarsacLor cc or usc o Lhcr soLwarc or hosLcd scrvcc. lr sorc cascs, Lhcrc s
a sLraghLorward rcvcrucsharc agrccrcrL.
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lrorraLorhascd ard LrarsacLorhascd rohlc harkrg s dclvcrcd usrg rccharsrs
srlar Lo Lhosc uscd or rohlc rcroLc ard local ayrcrLs.

1hc chocc o alcaLor crvrorrcrL clcrLsdc, whcrc alcaLors arc crhcddcd

r Lhc SlN card usrg SlN LoolkL, or scrvcrsdc, whcrc ava alcaLors arc
dowrloadcd Lo rur or Lhc hardscL wll havc ar racL or Lhc usahlLy o Lhc
scrvcc ard Lhc dcgrcc Lo whch Lhc rohlc ocraLor rusL hc rvolvcd r scrvcc dcsgr,
dcvclorcrL ard dclvcry.

1hc chocc o hcarcr Lcchrologcs SNS or USSD, vocchascd usrg lVR, or daLa
hcarcrs GlRS, LDGL, WCDNA or usc wLh WAl or raLvc H1NL hrowscrs wll accL
crorrarcc ard cosL.

lr Lurr, Lhc chocc o sccurLy rlcrcrLaLors hcarcr crcryLor, crdLocrd

crcryLor ard horc sccurLy wll dcLcrrrc Lhc lcvcl o LrusL clL hy Lhc corsurcr
ard lcvcl o lahlLy or Lhc hark, or scrvcc rovdcr.
!!!"#$%&'()*("+&( !" #$%%" &'()*+," -./.0)+1" 2" 3.45," %T
lurLhcrrorc, Lhc sclccLor o Lhc aroraLc Lcchrology wll havc a sgrcarL racL or
Lhc succcss o Lhc rohlcharkrg scrvcc. 1hs sclccLor rusL hc dcLcrrrcd or Lhc hass o
local rarkcL cordLors, as wcll as Lhc rccrrcd husrcss rodcl. lor cxarlc, alLhough SNS
s Lhc lowcsL corror dcrorraLor r rosL rarkcLs (.c., L s avalahlc ard uscd or alrosL
all rohlc hardscLs), L ray hc a lrLrg acLor r sorc dcvclorg rarkcLs whcrc lLcracy s
low ard whcrc rulLlc larguagcs arc corrorly uscd. lr Lhcsc cascs, oLhcr oLors, such as
lVR or cordrvcr rcruhascd alcaLors ray rovc rorc cccLvc.
1cchrology chocc wll also dccrd or Lhc choscr sLraLcgy or husrcss rodcl o Lhc scrvcc
rovdcr. l Lhc hark s Lo hc Lhc scrvcc rovdcr, or cxarlc, L wll rccd Lo dccdc whcLhcr Lo
arLrcr wLh or hyass Lhc rohlc ocraLor. 1hc hark ray choosc Lo dcvclo Ls owr rohlc
lrLcrrcL sLc ard crcouragc Ls cusLorcrs Lo usc Lhc raLvc horchrowscr, Lycally WAl,
whch cuLs Lhc ocraLor ouL o Lhc scrvcc crLrcly. 1hs sLraLcgy s usually orly ar oLor r
dcvclocd rarkcLs or or Lhosc harks ocuscd or Lhc wcalLhy rddlc ard ucr classcs r
dcvclorg rarkcLs duc Lo Lhc low crcLraLor o hrowscrcqucd rohlc horcs ard hgh
sccd daLa rcLworks r rary dcvclorg rarkcLs.
1ycally, Lhc rohlcharkrg soluLors adoLcd arc hascd or rulLscrvcc laLorrs whch
arc cLhcr ccrLrally hosLcd r Lhc hark`s or rohlc ocraLor`s rcLwork or, Lhc scrvcc s
LoLally ouLsourccd, hosLcd cxLcrrally r ar rdccrdcrL daLa ccrLcr. Barks r arLcular
arc rclucLarL Lo hosL Lhcsc laLorrs cxLcrrally, duc Lo corccrrs ahouL sccurLy ard daLa
roLccLor alLhough L s quLc corror or Lhc scrvccs Lo hc hosLcd ard raragcd hy Lhc
Lcchrology rovdcr orsLc as a raragcd scrvcc.
lrLcgraLor o Lhc rohlc harkrg sysLcr ard Lhc cxsLrg harkrg sysLcrs oLcr va Lhc
A1N rcLwork usrg Lhc lSOS5S2 rLcracc s oLcrLally a corlcx roccss, huL L car ycld
sgrcarL hcrcLs. lor cxarlc, acccss Lo Lhc A1N rcLwork r a arLcular courLry car
add valuc Lo Lhc rohlc ocrrg crahlrg cusLorcrs Lo wLhdraw cash ror Lhcr rohlc
hark accourLs. AddLorally, Lhc A1N swLch Lycally ocrs urcLoralLcs such as accourL
crqurcs, rorcy Lrarscrs ard dcosLs, all o whch car hc hulL rLo Lhc rohlc ocrrg.
Whcrc ro A1N rcLwork cxsLs, rohlcsccc rLcraccs havc Lo hc dcvclocd, usually hascd
or Wchscrvcc Lcchrology.
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lor rohlc harkrg Lo hccorc rorc Lhar |usL ar ad|urcL Lo lrLcrrcL harkrg, a rorc
sLraLcgc rclaLorsh wll hc rcccssary hcLwccr Lhc harks ard Lhc ocraLor corrurLcs.
1hc rohahlLy o succcss or harks Lo cxLcrd Lhcr rcach ard aLLracL rcw cusLorcrs ard rcw
husrcss va rohlc harkrg s grcaLly crharccd hy arLrcrrg wLh rohlc ocraLors roL
orly hccausc o Lhcr krowlcdgc, ocraLoral ard rarkcLrg cxcrLsc r Lhc cld o rohlLy,
huL also hccausc o Lhcr grcaLcr rcach ard acccss Lo corsurcrs va Lhcr agcrL rcLworks
(csccally r dcvclorg rarkcLs). Srlarly, r rosL crcursLarccs, rohlc ocraLors wll
havc a grcaLcr charcc o succcss r rohlc harkrg Lhcy arc workrg r arLrcrsh wLh
a hark, hccausc Lhc hark ocrs rcgulaLory corlarcc ard cxcrcrcc o rsk ard rarcal
raragcrcrL.
Nuch has hccr sad ahouL Lhc corlcLs ard Lcrsors hcLwccr Lhc LradLoral rarcal
rdusLry laycrs (rrarly Lhc rcurhcrL harks) ard Lhc rcw crLrarLs Lo Lhs rarkcL (Lhc
rohlc ocraLors ard lSls). Whlc Lhcrc s ro douhL LhaL Lhcsc Lcrsors cxsL, Lhcrc s cvdcrcc
LhaL orwardLhrkrg laycrs r hoLh cars arc rccogrzrg Lhc ruLual hcrcLs o Lruc
collahoraLor Lo huld "wrwr" husrcss roosLors. O all Lhc acLors or succcss or rohlc
harkrg, Lhc rccd Lo huld hrdgcs hcLwccr Lhc varous laycrs r Lhc ccosysLcr wll havc
Lhc grcaLcsL racL or Lhc succcss o rohlc harkrg. lrovdcd cach laycr ackrowlcdgcs Lhc
rclcvarL sLrcrgLhs o Lhc oLhcrs ard works Lo Lakc advarLagc o Lhosc alorgsdc Lhcr owr,
Lhcrc wll hc sharcd oorLurLcs ard sharcd rsks. A corhaLvc ard ovcrLly corcLLvc
aroach wll daragc rcuLaLors, crcouragc dsroorLoraLc rcgulaLor ard hrccd a
rsLrusL LhaL wll ccd Lhrough Lo suhoLral scrvccs, lrLrg scrvcc uLakc ard usagc.
lor cxarlc, L wll hc rorLarL LhaL laycrs do roL gcL Loo osscssvc ahouL cusLorcr
owrcrsh. lrovdcd cach laycr`s rolc s ackrowlcdgcd ard rcwardcd r Lhc sharrg o valuc
whch rcqurcs wcllLhoughLouL husrcss rodcls ard hrard awarcrcss s rarLarcd (r
Lhc cycs o Lhc corsurcr), all laycrs wll corLruc Lo hcrcL. 1hcrc should hc corcLLvc
sLuaLors, whcrc harks, rohlc ocraLors ard oLhcrs wll ocr srlar scrvccs, whch wll
hc hcalLhy or Lhc rdusLry ard or Lhc corsurcr. BuL Lhcsc wll rcly or Lhc sarc halarcc o
corcLLvcrcss ard collahoraLor LhaL suorL oLhcr csLahlshcd rdusLrcs.
!!!"#$%&'()*("+&( !" #$%%" &'()*+," -./.0)+1" 2" 3.45," #$
Lrgcrdcrrg ard rarLarrg Lhc LrusL o corsurcrs, ard LhaL o Lhc ccosysLcr`s
arLcarLs, s Lhc rcsorshlLy o all laycrs r Lhc valuc char ard agar urdcrlrcs Lhc
rccd or collahoraLor ard LrusL wLhr Lhc ccosysLcr. lrdccrdcrL Lcchrology ard soluLors
rovdcrs, r arLcular, havc ar rorLarL rolc Lo lay r crsurrg Lhc sccurLy ard rohusLrcss
o Lhc laLorrs or whch rohlc harkrg scrvccs arc hulL. Howcvcr, L wll hc rorLarL Lo
halarcc Lhc lcvcls o sccurLy rcccssary wLh Lhc lcvcl o rsk o dcrcrL scrvccs, cxccssvc
sccurLy wll rcrcasc rcorvcrcrcc or Lhc corsurcr ard rovdc a harrcr Lo scrvcc Lakc
u ard/or usagc.
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lr Lhc currcrL crvrorrcrL, r whch rary corsurcrs havc dcvclocd a oor oror o
harks, rohlc harkrg ocrs ar oorLurLy Lo hc sccr Lo hc addrg valuc ard adaLrg Lo
Lhc rccds o Lhc corsurcr, or corvcrcrcc, sccd, cLc. lr sorc corcLLvc rarkcLs, rohlc
harkrg s sccr hy sorc harks as a corcLLvc advarLagc, huL rcvLahly such advarLagcs
wll drrsh as oLhcr harks laurch srlar scrvccs.
lr Lhc dcvclocd world, Lhc rohlcharkrg cxcrcrcc rrrors LhaL o orlrc harkrg ard
allows uscrs Lo chcck accourLs, Lrarscr rorcy ard ay hlls. 1hc corvcrcrcc o chcckrg
hark halarccs ard ayrg hlls aL aryLrc ror arywhcrc has Ls acal huL r rarkcLs whcrc
lrLcrrcL harkrg s casly acccsshlc ard A1Ns arc or alrosL cvcry sLrccL corrcr, L wll orly
cvcr hc a "rcc Lo havc". l rohlc harkrg s orly ahouL rccrcaLrg lrLcrrcL harkrg or Lhc
rohlc horc Lhcr L s urlkcly Lo hc adoLcd hy Lhc rass rarkcL quckly.
lr Lhc dcvclorg world, rohlc harkrg has alrcady hccorc raLural ard Lhc orly
rarcal scrvcc avalahlc Lo rllors o rcvously urharkcd corsurcrs. lor rary o Lhc
dsadvarLagcd corrurLcs aL Lhc hoLLor o Lhc ccororc yrard, rohlc harkrg ocrs
a grcaL dcal rorc Lhar a corvcrcrL rcars o raragrg Lhcr rarccs L oLcrLally
crowcrs Lhcr Lo hccorc ar rorc acLvc arLcarLs r soccLy ard Lo huld lcchargrg
wcalLh Lhrough Ls ahlLy Lo cxLcrd Lhc rcach o rcrorarcc Lo rural corrurLcs.
Orc alLcrraLvc or dcloyrg rohlcharkrg scrvccs s Lo usc sharcdagcrL rcLworks as Lhs
would lhcraLc harks ror locaLor corsLrarLs ard allow Lhcr Lo corcLc or cusLorcrs
arywhcrc hascd or roducL dcsgr, rarkcLrg ard hrardrg. lrsLcad o usrg cxclusvc agcrLs
Lo hardlc cusLorcr lqudLy rccds, Lhc lqudLy aL all agcrLs r orc locaLor would hc
oolcd Lo scrvc ary cusLorcr, rakrg Lhs harkrg rodcl rorc cccrL wLh rrral crcdL
suorL. Howcvcr, rakrg Lhs a rcalLy would rcqurc chargcs r hark rcgulaLor, rdusLry
husrcss rodcls ard corrcrcal sLraLcgcs hy rdvdual rarcal scrvcc rovdcrs.
Ncrorarcc rsLLuLors (Nlls) arc also hcgrrrg Lo lay a rorc acLvc rolc r rcachrg ouL
Lo oLcrLal cusLorcrs ard cducaLrg Lhcr ahouL Lhc hcrcLs o rohlc harkrg. 1hc Nlls
rcalzc LhaL or rary laycrs, rcludrg Lhc ocraLors ard harks, rvcsLrg r rohlc harkrg
or Lhc urharkcd s a hg rsk, csccally Lhc scrvcc s LargcLcd aL Lhc oor colc r rural
arLs o Lhc courLry. 1hc oor arc gcrcrally Lhc vcry lasL adoLcrs o ary rcw Lcchrology ard
L s hard Lo scll harkrg scrvccs Lo sorcorc who rcLhcr krows ror urdcrsLards whaL a hark
s.
l rohlc harkrg s Lo hccorc uhquLous ard hghly valucd, L rusL rccL Lhc cxccLaLors
o scrvcc lcvcls LhaL cusLorcrs cxccL ror Lhcr corvcrLoral lrLcrrcLharkrg scrvccs
24x7 avalahlLy, wLh crrorrcc ard rcarrsLarLarcous LrarsacLors.
lr Lhc lorgcr Lcrr, rohlc harkrg scrvccs havc a Lrcrcrdous oLcrLal Lo scalc u ard Lhc
volurc o LrarsacLors could cxcccd LhaL o currcrL corvcrLoral or lrLcrrcLharkrg scrvccs.
1hcrcorc, rohlc ocraLors ard harks should hc lookrg Lo dcloy soluLors LhaL arc urosc
hulL or rohlc harkrg crdLocrd, raLhcr Lhar cxLcrdrg or rodyrg cxsLrg lrLcrrcL
harkrg soluLors.