: A local business owner (e.g., grocery store, fuel station) who acts as a "human ATM" or mini-branch using a POS terminal or mobile app.
: Provides the banking license, technology, and settlement infrastructure.
Agency banking is a retail-led model where financial institutions use third-party entities—like local shops or pharmacies—to provide essential services on their behalf. This strategy allows banks to expand their reach into remote or underserved areas without the high capital costs of building full-scale physical branches. agency bank
The model operates as a partnership between three key players:
: Uses the local agent for daily transactions rather than traveling to a distant city branch. Core Services Provided Through an agent, customers can typically access: Cash Transactions : Deposits and withdrawals. : A local business owner (e
: Settling utility bills, taxes, or government fees. Financial Products : Applying for or repaying microloans. Primary Benefits
: Opening new accounts and checking balances. This strategy allows banks to expand their reach
Understanding agency banking: what it is and ... - ClearBank