Uber has created a new division called Uber Money to handle its growing financial services business many wonder if this will be a successful venture. The new division will oversee everything from the company’s credit and debit card offerings, to digital wallets for riders, to products used by drivers to get paid in a timely manner. This will be in form of Debit cards for drivers and credit cards for riders
Ride sharing companies offering financial services is no stranger here in Uganda as we have the likes of Safe Boda who have unleashed the power of their app to do financial transactions with their cashless digital Wallet. Uber Money is a different approach in the same sector. The digital wallet has effectively made all Safeboda riders agents of some sort and topping up your SafeBoda digital wallet free, which is not the same for mobile money that comes with which has transaction fees and taxes when you withdraw.
If successful, the company drivers will have an improved way to get the cash they earn on rides instantly, with Uber Money. Typically drivers either wait for weekly payments or cash out using a feature called Instant Pay.
This mobile bank account will mean that Uber’s 4-million-plus drivers and couriers can get their cash instantly after every trip or delivery.
The issue with Uber Money will be roll-out, as it will take several months before its fully operations throughout the company. The digital wallet, which the company says will allow drivers to “easily track their earning and spending history, manage and move their money, and discover new Uber financial products all in one place,” will start rolling out in the driver app in the coming weeks.
The news about Uber Money, though, is sure to raise concerns among the company’s critics. There are many Uber drivers in debt and struggling to make ends meet.
