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Home » Blog » No customer, no cash-out – MoMAG cracks down on mobile money fraud
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No customer, no cash-out – MoMAG cracks down on mobile money fraud

Kofi Agyeman
16 hours ago
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The Mobile Money Advocacy Group Ghana (MoMAG) has directed all mobile money agents to stop cash-out transactions unless the customer is physically present.

The new rule is aimed at improving security and reducing fraud in Ghana’s digital payment system.

Under the directive, customers must visit agent locations with their mobile phones to withdraw or deposit money.

MoMAG stressed that deposits must also follow the same process, requiring customers to appear in person with their devices.

This is intended to prevent proxy transactions and ensure proper procedures are followed.

“MoMAG urgently advises all its members and all agents to discontinue the practice of “cash-out” transactions where the customer is not physically present. If a customer wishes to withdraw funds from their wallet, they must come to the agent’s location and present their phone in person, just as they would for any standard transaction.

“We also advise that customers come along with their phones for deposits. No deposit without the phone. Remote or proxy cash-outs, where a customer remains elsewhere while another individual transacts on their behalf, pose significant risks and were identified as a contributing factor to why some agents faced severe penalties during this exercise,” the statement read.

The directive follows a recent regulatory exercise by MobileMoney Fintech Limited, which led to the termination of over 900 agent accounts and the one-month suspension of more than 100 others for rule violations.

Offences included sending unauthorized transaction prompts and using deceptive tactics to mislead customers.

More than 8,000 agents were also cautioned and allowed to continue operating under stricter conditions.

MoMAG backed the enforcement action, noting that affected agents were given time to withdraw funds and, in some cases, challenge the decisions through proper channels.

The group also encouraged agents who are not yet members to join, as part of efforts to strengthen collaboration and improve standards in the mobile money sector.

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TAGGED:Ghana newsMobile Money (MoMo)Mobile Money Advocacy Group Ghana (MoMAG)Momo agentsmomo fraud
SOURCES:The Ghana Report

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