Mobile Money (MM) is a form of electronic money service that enables phone owners send, receive and store money. The relative safety, ease of mobility and convenient nature of this service has endeared it to all sections of the society from the rich to the poor.
The Mobile Money system works as follows;
The Mobile Network Operator (MNO) like MTN, Africell and Airtel sets up a platform that offers a service for phone owners to be able to “store and transfer” e-money using their phones.
A phone owner registers for the mobile money service with the telecommunications provider who creates the mobile money account associated with that particular registered phone number.
The customer then proceeds to cach-in onto their mobile money account by using a Mobile Money agent whom they give cash in exchange for e-money on the Mobile Money account.
This customer can through the execution of some commands send e-money to another mobile money account holder anytime they so wish. The recipient is at liberty to cash-out as and when they desire.