Bank of Tanzania visits Co-op Bank to learn how Direct Debit System works

A delegation comprising of the senior management team from the Bank of Tanzania has toured the Co-operative Bank of Kenya to learn how the Direct Debit System works.

In a testament of the Co-operative Bank of Kenya’s role as a regional banking powerhouse, the delegation from Tanzania made their tour on 11 May 2022 to learn the workings of the bank’s Direct Debit System.

This comes as the Bank of Tanzania looks to introduce the system to the Tanzanian banking system.

The delegation included Agathon Kipandula who is the Manager, Banking Operations, Bank of Tanzania, Nestory Nicholaus Maro who is the Payment Systems  Analyst, Bank of Tanzania, Thomas Matogolo Mongella who is the Manager, Payment Oversight, Bank of Tanzania, Dr. William Ayub Mng’ong’ose who is the Assistant Manager, Payment Systems Development, Bank of Tanzania, and Mr. Octallon Honorathy Urassa who is the Payment Systems  Analyst, Bank of Tanzania.

The team from the Bank of Tanzania toured Co-op Bank on the recommendation of the Central Bank of Kenya. This recommendation came on the bank of Co-op Bank’s established track record in offering direct debits to both retail and corporate clients.

“Co-op Bank remains open to support the Bank of Tanzania on the direct debits should the need arise,”

a statement from Co-op Bank said.

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A Direct Debit is an instruction that a bank customer gives to a bank, authorizing another party that the customer wishes to pay to collect various amounts from the customer’s account. Once a direct debit is put in place, the funds are deducted automatically.

Direct Debits are a very convenient way for customers to pay regular and occasional bills such as utilities and subscriptions, as it ensures that users do not miss important payments as and when they fall due.