Kuda Bank vs Palmpay: Which is Better? Fees, Features, User Feedback

In recent years, the Nigerian fintech market has experienced significant growth, and mobile banking has become increasingly popular.

Two of the leading mobile banking apps in Nigeria are Kuda and Palmpay. With both apps offering similar features and services, it can be challenging to determine which one is the best fit for your financial needs.

In this blog post, we'll compare Kuda and Palmpay, and provide an in-depth analysis of their features, and everything you need to know.

What is Kuda Bank and Palmpay?

What is Kuda Bank?

In 2019, Babs Ogundeyi and Musty Mustapha established Kuda Kuda Bank in Nigeria and the United Kingdom.

Kuda Bank is a digital-only, full-service bank that enriches lives by assisting individuals in leading healthier financial lives.

The bank's mission is to provide all Africans on earth with access to the most competitive banking rates at prices they can comfortably afford. With over 4.2 million users, Kuda bank has become a remarkable example of the success of digital banks in India. Mostly because of the advantages this platform offers.

What is Palmpay?

Palmpay is an exclusively digital bank that provides a variety of banking services through its mobile banking application. PalmPay is a product of NetEase Group (NASDAQ: NTES) and Transsion Holdings Group's joint venture, Transsnet Group.

PalmPay provides financial services to meet the daily needs of a large number of African users, including the ability to electronically top up funds, make transfers, and pay airtime and other bills. Although PalmPay is launching today, its history demonstrates that the objective was to promote financial inclusion in Africa by providing access to real-time digital payment services.

PROS and CONS of Kuda and Palmpay

Advantages of Kuda Bank

Here are some of the advantages of using Kuda Bank

        Kuda bank provides free virtual naira cards. On the Kuda app, users can create a smart budget to manage their expenses.

        Receive a staggering 15 percent in interest for using their annual savings program.

        Enjoy 0% transaction fees on all internal and external bank transfers.

        Purchase airtime and data for your phone with ease.

        You can conduct all transactions online without visiting a bank. The only requirements are the kuda app, an internet connection, and your account ATM card.

        Kuda provides a total of 25 free transfers per month. You also receive free SMS alerts for debit and credit.

        If you regularly use Kuda for transactions, you have access to the overdraft feature. This provides you with access to funds when needed.

Advantages of Palmpay:

        Banking experience that is extremely safe

        Every day, three transfers are provided for free.

        Quick transactions Transfer confirmation takes less than 5 minutes to appear, which is ideal for people who run transfer-related businesses.

        Issuance of a POS device

        On the app, you can convert unused airtime into cash.

        Bills can be split with other Palmpay users.

        There are cashback and bonus options available.

Kuda Bank Cons:

        Limited integration with third-party apps

        No option for joint account ownership

        Limited international money transfer options

        No physical cash deposit options

Palmpay Cons:

        High fees for some transactions

        Limited availability in certain regions

        Limited selection of savings and investment options

        Some users have reported technical issues with the app

Features of Kuda and Palmpay?

Kuda Bank Features:

        Mobile Banking: Kuda allows users to perform a range of banking activities on their mobile devices, including account opening, fund transfers, bill payments, and balance inquiries.

        Savings and Investment: Kuda offers a high-interest savings account that allows users to earn interest on their deposits. Additionally, users can invest in Treasury Bills through the app.

        Free ATM Card: Kuda provides a free debit card that can be used for online and offline transactions, and for cash withdrawals at ATMs.

        No Hidden Fees: Kuda does not charge hidden fees or maintenance fees, making it a cost-effective option for users.

        Customer Support: Kuda provides 24/7 customer support through the app, including in-app chat and email support.

Palmpay Features:

        Mobile Banking: Palmpay enables users to perform a range of banking activities on their mobile devices, including account opening, fund transfers, bill payments, and balance inquiries.

        Cashback Rewards: Palmpay offers cashback rewards on transactions, allowing users to earn rewards points that can be used for discounts on future transactions.

        Bill Payment: Palmpay offers a wide selection of bill payment options, including electricity bills, cable TV bills, and more.

        Physical Branch Locations: Palmpay has 3 physical branch locations where users can access in-person support and services.

Kuda Bank vs Palmpay: Which is Better?

Determining which app is best between Kuda and Palmpay largely depends on your personal financial needs and preferences. Both apps offer unique features and services, and it's important to compare them based on many factors.

Kuda is a cost-effective option for users who prioritize low fees and a quick and easy account opening process. The app offers a high-interest savings account, a free ATM card, and 24/7 customer support.

Palmpay is a good option for users who value cashback rewards, a wide selection of bill payment options, and physical branch locations for in-person support.


Which app is better than PalmPay?

It is difficult to determine which app is better to Palmpay because it depends on the financial needs and preferences of each user. While Palmpay has strengths, such as cashback rewards and a variety of bill-paying options, there may be other mobile banking apps that better meet the needs of some users.

Other well-known mobile banking applications in Nigeria include Nexi Payments, PayPay, Kuda Bank, and BKash.

Can I save money on PalmPay?

With PalmPay, you save on fees and earn discounts and cashback as you spend.

Is Kuda the best bank in Nigeria?

Kuda is an innovative digital bank and mobile application that is fully licenced and governed by the Central Bank of Nigeria.

Which one is the best between OPay and PalmPay?

Determining which app is best between OPay and Palmpay depends on your individual financial needs and preferences. Both apps offer similar features, such as bill payments, airtime and data top-up, and money transfers. However, there are some differences to consider.

What is Kuda bank limit?

There is a limit of 1,000,000 naira per transfer from your Kuda account. A POS terminal allows you to spend a maximum of 2,000,000 naira per transaction.

Is Kuda ATM card free?

No, you will not be charged for the Kuda Visa card. To request the card, you must have a minimum balance of 1,000 naira in your account, but we will not debit your account or charge you for delivery.

How much can I transfer with Kuda in a day?

Your daily transfer limit is the most you can send from your account in a single day. This can help you keep your spending under control. Your account's default daily transfer limit on Kuda is one million naira.


Kuda and Palmpay are both strong contenders in the mobile banking space, offering unique features and services that cater to different financial needs and preferences.

While Kuda is a cost-effective option with a simple account opening process, Palmpay offers cashback rewards, a wide selection of bill payment options, and physical branch locations for in-person support.

Ultimately, the best app for you will depend on your personal financial needs and preferences.

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