More than 70 million contactless debit cards given to Nigerians by banks are still not being used, mainly because many Nigerians do not trust the technology. Even though the cards are available and can be used for quick payments, a lot of people are afraid that their money might be stolen or misused if they use them. This fear and lack of proper understanding are making people avoid using the cards.
It was revealed that most banks in Nigeria have already issued cards with contactless technology, but many cardholders are not using them. The report said that the main reason is fear of fraud. Many Nigerians believe that someone can easily make transactions from their cards without their knowledge, just by being close to them. Some people even fear that fraudsters can use simple devices to steal money from their cards while they are still in their pockets or wallets.
Financial experts have said that these fears are mostly due to lack of information. They explained that contactless cards are actually safe and have strong security systems. But because most people have not been properly educated about how the technology works, they remain scared and refuse to use the cards. In other countries, contactless payments have become a normal part of daily life. People use them in shops, restaurants, and transport without fear. But in Nigeria, many cardholders do not even know what the small contactless logo on their card means.
The Central Bank of Nigeria (CBN) has been working to promote a cashless economy. The idea is to reduce the amount of physical cash people carry, which can lead to robbery or loss. Contactless payment is part of this cashless plan, but the slow adoption is now a big concern for the CBN. Without public trust in the system, it will be difficult to move Nigeria fully into the digital payment space.
To change this, experts are asking banks and other financial institutions to do more to educate their customers. They say that people need to be told clearly how contactless cards work and how they are protected. Campaigns through radio, TV, social media, and community outreach could help clear up the confusion and encourage people to try the cards. Without this kind of awareness, the cards will keep lying unused in wallets and drawers.
Apart from safety concerns, some users also say that many shops and vendors in Nigeria do not accept contactless payments. This is another barrier that must be addressed. For the contactless payment system to work properly, merchants need to upgrade their point-of-sale terminals to support it.
The low use of contactless cards is not only a problem for banks and cardholders. It also affects the broader economy. If more people use these cards, payments will be faster, queues will be shorter, and businesses will operate more smoothly. Digital payments also allow better record-keeping and financial planning. Right now, however, Nigeria is missing out on these benefits.
The road to full acceptance of contactless technology in Nigeria is still long, but many believe that with the right education and improved trust, more Nigerians will soon embrace it. Until then, millions of cards will remain unused, as their owners continue to stick to traditional payment methods they are more comfortable with.
