We are thrilled to announce the private beta release of Mono Direct Debit, an innovative payment solution designed to transform the way you handle recurring payments. At Mono, we believe in simplifying financial transactions, and the addition of Mono Direct Debit to our DirectPay product offering is a testament to this commitment.
We have developed this solution in conjunction with the NIBSS Mandate service, off the back of many valuable interactions with businesses in various industries that need more reliable ways to accept payments from their customers from repayments for lenders to periodic savings/top-ups to investment instruments, and we're excited to see businesses record successes with this solution.
This new payment offering will allow us to provide a solution to the gaps that exist in alternative payment collection for businesses in Nigeria.
Here are the features of Mono Direct Debit
Mono Direct Debit features
Automated single payments - allowing your business to collect instant or post-dated single payments.
Variable Recurring Payments - enabling your business to collect varying amounts split over a schedule.
Fixed recurring payments - with this, you can collect the same payment amounts split over a schedule.
Fast mandate setup and authorization - mandates take less than 5 minutes to set up.
Secure - authorization and consent of customers are required and must be obtained for mandate setup.
Multiple institutions - with access to set up mandates on over 30 Nigerian financial institutions, you can collect payments from more customers.
Varying account types - with access to set up mandates across personal, business, and joint accounts, customers with all account types can pay you without hassles.
How Mono Direct Debit works
Mono Direct Debit allows businesses to set up one-time or recurring postdated, fixed, and variable payments on the bank account of their users to collect payments from their users with their consent and authorization.
A direct debit mandate will be set up in the following steps:
The customer selects their bank of choice.
They select the account type (personal, business, or joint account).
The customer verifies ownership of the account with the required information, to complete the account linking.
The customer authorizes the mandate by completing a transfer of NGN50 to a NIBSS account (e-mandate), or via a signature which will be confirmed by the account holder's bank.
With the mandate agreement in place, you can now collect agreed payment sums from their customers' accounts directly, on schedule.
Who can use Mono Direct Debit?
Mono Direct Debit is designed for businesses of all sizes, from startups to enterprises, seeking a reliable and efficient way to manage recurring payments. Some business cases where direct debit will be a significant advantage include:
Lending and BNPL businesses: You can simplify repayment collection for loans over various durations from your customers, with Mono Direct Debit. Cards are the more common billing instruments for repayments, but they could get stolen, compromised, or cancelled, leading to unsuccessful debit attempts and missed repayments for borrowers. Mono Direct Debit will make it easier for your borrowers to authorize mandates and repay you conveniently even without cards.
SaaS/Subscription-based service businesses: If your business offers subscription-based products and services to customers, the ability to set up mandates will make it easier to receive payments from your subscribers/users and allow you to focus on delivering the agreed service to them.
Fintech products, wallets, and investment services: With direct debits, your users can seamlessly set up and authorize mandates for scheduled wallet, account, periodic portfolio funding, and similar payments to your business.
How to get started—joining the Mono Direct Debit waitlist
If you're a Nigerian business looking to give your customers better payment experiences, we're excited to partner with you to test and refine Mono Direct Debit for your business, customers, and other businesses in Nigeria. You can get started by joining the Mono Direct Debit waitlist with these easy steps
To join the waitlist, fill out this form and we'll be in touch with details for early access.
As we embark on this exciting journey, Mono remains committed to redefining financial solutions.
Stay tuned for more updates and get ready to experience the power of Mono Direct Debit.