Advances in digital technologies and the increased availability of data can be used to support low-income customers to do more than make payments. These advances can help them to make financial decisions and develop strategies to manage their finances.
Customers are turning to formal channels that use digital and mobile technologies for remittances because these are often able to offer services at lower costs. As more customers turn to formal services, remittances will have an even stronger developmental impact, notably in countries where protracted humanitarian crises affect large numbers of people.
This case study describes the Juntos platform, which aims to address the engagement gap between customers and providers. It describes how it works, what it can and cannot do, early results, and issues arising from initial implementations.
Digital social payments (DSPs) are a fast-growing, yet often overlooked, digital financial services (DFS) segment. Acknowledging and addressing the most common and consequential consumer risks should be a priority for any program or provider seeking to unlock the potentials of DSPs for the poor.