EDITORIAL: Heed regulator’s directive

It is worrying that big commercial banks and telecommunications firms are lagging behind in implementing a directive that they disclose all fees incurred in mobile money transfer transactions.

Banks and telcos must heed the order to disclose their mobile banking charges. Only eight firms are currently making disclosures to their customers.

The Competition Authority of Kenya is right to pursue this matter since if  it fails to do so, users of mobile banking would not have any recourse.

The regulator issued the directive following numerous customer complaints about the lack of transparency associated with mobile money transactions.

It had initially given a December 2016 deadline for the institutions to comply, but now says it plans to have the whole sector make the disclosures by June 2017 by embarking on a  case to case basis to ensure compliance.

We urge the institutions to stop hiding behind technology or other complexities.

It is crystal clear that for too long they have made lots of money by simply failing to let customers know what they are being charged for transactions.

They should also know that having  lesser charges and transparency will eventually work in their favour as more customers will adopt the platforms.