Kuda Bank Customers Revolt: Why They Are Deleteing The App

Kuda Bank is a mobile-only Nigerian bank licensed by Central Bank. Users are closing down their accounts quickly.

This is because of a recent accusation against Kuda Bank. It follows a viral video in which one of its customers was harassed and then arrested at Kuda Bank’s office in Yaba (Nigeria State).

It all began 

The customer’s brother posted a Tweet on Sunday, April 17th, 2022 under the handle @ayam_jamotech. He said his brother made a transfer that totalled ₦1.2 million as the balance in his account. Kuda Bank decided that he should be locked out of the account in order to find out why he had so much money. 

He went further to explain that his brother was a hard worker and had transacted over ₦10 million without any issues from the bank. 

After the customer in question went to the bank to lay a complaint, Kuda said they were investigating the situation but on Tuesday, On April 19, @ayam_jamotech made a new tweet which showed that the situation was getting worse — his brother was reportedly assaulted by the police at Kuda Bank’s office.

“So my brother went to @kudabankhelp office today at yaba to know the reason why his account was locked and yet not to be opened after dropping his proof to them that it’s legit money and not fraud money at all. He arrived at the bank this morning and it was so funny. They sent their mopol.”

He wrote this after a video of his brother being dragged from the office building by ground police officers. He wrote:

Everyone, please help me retweet the right people and tag them appropriately so that I can investigate this case! They have hurt my brother. They apply tear gas to his forehead. Now they’re taking him to police custody. Please help God why’s this happening when I’m not around.”

https://twitter.com/Ayam_Jamotech/status/1516352879388409862

Kuda Bank has released an official statement saying that none of their staff were involved in the mishap but customers are still not convinced. According to the bank:

We have been informed that several videos were being shared online about the experience of one our customers yesterday. The videos show the customer being escorted out of our premises by members the Nigerian Police Force. We wish to unequivocally state that Kuda Microfinance Bank Limited does not condone or support such violence in any manner, particularly against its customers.”

Having said the foregoing, as a financial institution licensed by the Central Bank of Nigeria, we have an obligation to comply with all the mandates of all applicable government and law and law enforcement agencies, supported by appropriate documentation.”

The bank further stated that the customer refused cooperation with law enforcement officers, and that this led to the unfortunate incident.

It is truly unfortunate that the customer’s failure to cooperate with the law enforcement officers unfolded in the manner that it did, particularly as the customer was being apprehended by the members of the Nigerian Police Force further to their investigation into alleged criminal activity on the customer’s account.”

The public is very much dissatisfied with the bank’s claims of its workers not being involved. If this is the way other banks handle situations like that, there would not be any banks that are independent today. You can think of this as a young man being mistaken for Yahoo Boy, and then being beaten up and taken straight to the station.

Kuda! ‘One stick no dey chook person eye twice.’ Their statement clearly shows they’re using the brutality of the Nigerian Police to handle customers. Police will brutalize youths while on the roads, but they’ll still abuse us at the bank where we have our money. Rubbish!” a user, @DW3663 wrote.

I just saw a story about someone who claimed that Kuda Bank had locked his account due to suspicions of fraud. When he tried to go to their office, they threatened him with the police. Kuda Bank was amazing. Young people celebrated it, and even called it Bank of the Free a year earlier.” another user with the @DrPenking stated.

This highly discourages Kuda’s growth plan unless the bank has a great ‘bounce back up strategy’.

Kuda Bank must improve their public image. I don’t use them, but I already know they are bad.” @ToyosiGodwin.

Deleting the Kuda app from his phone, @UmanaGodswill tweeted; “Hello Kuda, Treat your customers better. @kudabankhelp I’m a youth too, I wouldn’t like to be harassed by Policemen because I want free transfers. I’ll stay with my first bank.

Get latest news from African Startup ecosystem

Latest stories

You might also like...