The Mobile Money Advocacy Group Ghana (MoMAG) has directed mobile money agents across Ghana to immediately halt all cash-out transactions involving customers who are not physically present, in a decisive move to strengthen security and reduce fraud within the digital payments space.
In a statement, the group stressed that all withdrawals must now be conducted strictly in person, with customers required to present their mobile phones at agent points before any transaction is processed. The directive reinforces existing protocols and seeks to eliminate risky practices that have exposed both agents and customers to fraud.
MoMAG further indicated that deposits must also follow the same rule, insisting that no transaction should be carried out without the customer’s physical presence and mobile device. The move effectively bans proxy transactions, where a third party conducts withdrawals or deposits on behalf of a customer.
Customers must come to the agent’s location and present their phones in person for any withdrawal. The same applies to deposits—no phone, no transaction,” the statement emphasized.
The group warned that remote or proxy cash-outs have been a major vulnerability in the system, often exploited by fraudsters through social engineering tactics. According to MoMAG, these practices were a key factor behind sanctions recently imposed on several agents.
The directive follows the conclusion of a regulatory enforcement exercise by MobileMoney Fintech Limited, which led to the termination of more than 900 agent accounts and the suspension of over 100 others for one month.
Authorities linked the sanctions to multiple breaches, including unauthorized transaction prompts and attempts by some agents to manipulate customers into approving fraudulent transactions.
In addition, more than 8,000 agents were cautioned after engagements with regulators and industry stakeholders. These agents have been allowed to continue operating but under stricter compliance requirements and closer monitoring.
MoMAG threw its support behind the enforcement measures, noting that affected agents were given a limited window to access funds in their terminated accounts. It also highlighted that due process mechanisms were in place, allowing some sanctioned agents to challenge the decisions.
The group is also encouraging mobile money agents who are yet to join the association to do so, as part of broader efforts to improve coordination, accountability, and professionalism within the industry.
The latest directive signals a tightening of controls in Ghana’s rapidly growing mobile money sector, as stakeholders move to restore trust, protect users, and safeguard the integrity of digital financial transactions.
Source: Wesleyannews.com
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