- Paystack has launched Zap for fast and secure bank transfers
- The app allows customers to fund their Zap account by linking their Nigerian bank accounts to Zap or depositing money directly into a Paystack-Titan account
- Paystack said the launch of Zap aligns with its belief that bank transfers are becoming the preferred payment method for many Nigerians
Nigerian financial technology (fintech) company, Paystack, has launched Zap, a consumer app designed to facilitate fast and secure bank transfers within 30 seconds.
With the launch, Stripe-owned fintech has shifted from a nearly decade-long focus on merchant-based solutions to consumer payments.
Paystack co-founder and Chief Executive Officer (CEO), Shola Akinlade, at the launch event held both in-person and virtually, said Zap is focused on simplifying bank transfers and making payments reliable and effortless.
“For years, we have been building infrastructure for merchants, and now we are excited to show you how this same infrastructure can transform your everyday experiences.
“Zap is not trying to be a neobank. It is focused on one thing: bank transfers. Fast; making payments as reliable and effortless as possible,” he said.
Zap, which was initially released on November 14, 2024, with an update on March 3, 2025, has already garnered over 1,000 downloads on the Google Play Store.
How the Zap app works
According to Akinlade, customers can fund their Zap account by linking their Nigerian bank accounts to Zap using Paystack’s direct debit infrastructure or by depositing money directly into a Paystack-Titan account.
“We have a partnership already with Titan Trust Bank and we extended that partnership to Zap,” Akinlade told TechCabal.
He added that only commercial bank accounts can be linked through Paystack Vault, excluding neobanks like OPay, PalmPay, and Moniepoint from the list of supported institutions.
Akinlade further explained that depositing and withdrawing N10,000 via a linked account would cost customers a total of N50 – N35 for depositing, while withdrawing N9,900 comes with an additional N25 fee.
With regards to the pricing, which makes Zap more expensive for users than OPay, PalmPay, and Moniepoint, which have already established themselves as more affordable alternatives, Akinlade said, “The pricing is going to evolve.”
He added that users can also link debit or credit cards from any country to Zap but added that the app isn’t a remittance service.
“Today, we’re not targeting the remittance scenario. Our ideal scenario is for people from abroad to come to Nigeria and make transfers using Zap.
“If you’re sending money to Nigeria from abroad, you can wait a couple of minutes. Our priority is immediate delivery,” Akinlade said.
The future is bank transfers
Paystack added that the launch of Zap aligns with its belief that bank transfers are becoming the preferred payment method for many Nigerians, especially in environments where buyers and sellers require immediate payment confirmation.
The move also aligns with the trend among fintechs like Flutterwave and OPay, which have already established consumer-focused products.
Data from Paystack indicates that bank transfers accounted for 58 per cent of all transactions processed by the platform in 2023, up from 28 per cent in 2022. Card payments, on the other hand, accounted for 36 per cent, with internet banking and other payment methods making up the rest.
Recall that the latest data released by the Nigeria Inter-Bank Settlement System (NIBSS) showed that electronic payment transactions in Nigeria surged to an all-time high of N1.07 quadrillion in 2024, the first time to hit the quadrillion mark.
Electronic transfers in Nigeria rose to N783.6 trillion in 2022, up from N31.57 billion in 2012.
The rise in smartphone penetration, expected to reach 60 per cent by 2025, and the increasing adoption of online transactions are key factors driving the growth of digital payments in Nigeria.
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