GENERAL CONDITIONS OF USE
DigiXAdvance(DXA)
I- REMINDERS
- OBJET
The General Terms of Use (GTU) or End User License Agreement (EULA) is a contractual document governing the terms of interaction between the provider of a service and its users.
The general terms of use are not a mandatory document. They are an optional document that can be submitted to the user of a service to regulate its use.
It is a contractual document. This is called an adhesion contract as opposed to a negotiated contract. The service user chooses to accept or reject them but does not negotiate their content with the service operator.
Like any contractual document, the general terms of use bind the service user and the operator to comply with its content.
- PREREQUISITES
Please read carefully the General Terms of Use below before starting to use the DigiXAdvance (DXA) service. Its use implies that you certify having read and accepted them without reservation. In the event that you do not accept the GTU or have reservations, please do not use the DigiXAdvance platform.
To conclude these General Terms of Use and access the DigiXAdvance platform, you must be a client of a Microfinance Institution (MFI) or a Bank.
If you are not within Cameroonian territory, this service is not intended for you.
Overdrafts are instantly granted to salaried clients of the Microfinance or Bank through the DigiXAdvance platform. The maximum overdraft amounts are set by the lending Microfinance/Bank. To benefit from this service on the platform, clients must be onboarded by the Microfinance, and the client must also subscribe to these services..
The Microfinance/Bank may, after assessment, also onboard non-salaried clients to this platform.
- ACCEPTANCE OF THESE GENERAL TERMS
The acceptance of these General Terms of Use is made in the dialog that is triggered when a user dials the USSD code *037# or any other USSD code communicated from their mobile phone to use the DigiXAdvance service. By doing so, they accept the special terms, thus concluding the agreement between the DigiXAdvance service and themselves (the client).
Digitalis reserves the right to amend these General Terms of Use and will publish updated versions at the following URL: http://www.digitalissa.com or through its partner mobile operator. Any use of the service under the amended General Terms shall constitute the client’s tacit acceptance.
II- SOME DEFINITIONS
1- USSD Code (Unstructured Supplementary Service Data): Protocol or interface used by a GSM terminal to communicate with the operator’s server providing a service.
2- Special Terms: Personalized digital offer received by the client on their mobile phone when the DigiXAdvance loan is granted, where (via SMS) the overdraft conditions specific to them are defined.
3- Repayment Date: The repayment date of the amount to be reimbursed as indicated in the client’s special terms, or any other date that the bank or the DigiXAdvance MFI may communicate through the DigiXAdvance platform.
4- Service Fees: Amounts corresponding to a percentage of the initial loan amount deducted by the MFI/Bank and intended for Digitalis, on repayments made by clients who benefited from an DigiXAdvance credit, as remuneration for this instant loan service, and for the benefit of the partner MFI/Bank, Digitalis, and its partner MTN.
5- Financial Institution: Bank or Microfinance Institution (MFI) having signed a SAAS “software as a service” contract with the company Digitalis, owner of the DigiXAdvance platform, and using it as a tool for granting overdrafts.
6- MoMo: Mobile Money service of the mobile operator MTN Cameroon.
7- Amount to be Repaid: Means the total amount to be repaid for the mobile loan obtained by the client, including all service fees and, where applicable, penalties.
8- DigiXAdvance: Refers to loans starting from XAF 25,000 that the partner MFI/Bank can grant via the DigiXAdvance technological platform, by mobile phone, to an MTN MoMo user
9- PIN: Personal Identification Number, confidentially issued to the client at the time of their registration on the DigiXAdvance platform, through which they access it, allowing them to use their DigiXAdvance account and be recognized for their credit transactions.
10- Partner Mobile Operator (PMO): MTN Cameroon, concessionaire of the State of Cameroon in the field of electronic communications and signatory of an interconnection agreement with the company CREDIX.CAM SA, holder of the DigiXAdvance Technological Platform.
11- Digitalis System: Or technological platform, is a technological system including all tools, hardware, software, and servers belonging to Digitalis, using MTN’s APIs, and used by the partner bank or MFI to facilitate and offer its overdraft granting and public savings collection activities, especially for MoMo users.
12- User: Refers to any client of the Microfinance or Bank, holder or beneficiary of a Mobile subscription, who has subscribed to the DigiXAdvance platform service via the short code (*037#) or any other USSD code communicated to them.
13- Mobile Overdrafts: The loan granted through the Digitalis system. The total cumulative loans granted may not exceed a certain ceiling set by the partner MFI/Bank.
III- LEGAL BASIS OF DigiXAdvance (DXA)
The credit management activity on the DigiXAdvance Technological Platform relies mainly on the APIs provided by MTN, which allow banks and MFIs to use it as a tool aimed at diversifying and improving their operations.
a) Operation of DigiXAdvance
a1)Enrollment of MFIs/Banks
DigiXAdvance operations begin with the enrollment/onboarding of MFIs/Banks, which must sign a subscription form (via a web link) with the DigiXAdvance platform represented by Digitalis.
a2)Enrollment of the Client
Any holder of a salaried account at an MFI/Bank can be enrolled by the MFI/Bank. The enrollment or subscription of a client in the DigiXAdvance system takes place in two steps:
- First step: Salary earners must present themselves at the partner MFI/Bank to indicate their interest in using the DigiXAdvance solution and be onboarded. For non-salaried clients, the lending MFI/Bank may also subscribe them after a case study, provided that they have guarantees of loan repayment
- Second step: The MFI/Bank opens the DigiXAdvance menu from its own back-office phone and clicks on the “register client” icon. Once the new icon is displayed, the MFI/Bank enters in the dedicated space the Mobile Money account number of the client to be registered. At that moment, the client’s phone is automatically prompted by the DigiXAdvance system, which sends a pop-up for the client to validate and pay their subscription by entering their Mobile Money PIN code.
The subscription is deemed valid once the client has entered their Mobile Money code to pay the non-refundable subscription fee of XAF 500, valid for one (01) months and renewable.
By this subscription:
- The Client thereby accepts these General Terms and Conditions, authorizes DigiXAdvance to use their Mobile Money account for loan operations. Repayments are directly carried out by the MFI/Bank during salary transfers. In the event that the loan granted to the client is not repaid within the contractual deadlines, the MFIs/Banks may request the DigiXAdvance platform to perform auto-debits on the client’s Mobile Money account.
- The client also authorizes DigiXAdvance to access all their personal information held by the Mobile Network Operator.
b) Concept of DigiXAdvance Loans
DigiXAdvance Loans are loans granted to individuals who are clients of a Microfinance Institution or a Bank. The minimum value is XAF 25,000 .
The approval of the loan/overdraft amount requested by the client is solely determined by the partner bank or MFI based on a pre-recorded scoring system within the DigiXAdvance platform, for which CREDIX ensures consistency.
The duration of the overdraft is set by the Microfinance Institution or Bank.
c) DigiXAdvance Service Fees
The service fees represent 1% of the principal amount of the loans granted by the bank or MFI.
The DigiXAdvance service fees collected in the collection account of the bank or MFI opened at MMC, as well as penalties, must be distributed by the bank or MFI among all the stakeholders in the system, namely: Digitalis, CREDIX, consultants, and intermediaries, in accordance with the related consensual distribution schedule, which must be formalized in a written contract.
d) Requesting DigiXAdvance Mobile Loans
To obtain an DigiXAdvance overdraft, the client dials on their mobile phone the USSD code *036# or any other communicated USSD code and chooses the options displayed in the menu as they wish. At the end of this electronic exchange, the loan may either be granted or refused. The client may also have the DigiXAdvance mobile app.
The client acknowledges and accepts that their request for a mobile overdraft through the Digitalis system does not create any contractual relationship between the lending bank or MFI and themselves until the said loan has been effectively transferred into their Mobile Money account, with an acknowledgment of receipt sent to their phone in the form of an SMS.
e) Guarantee of DigiXAdvance Mobile Overdrafts
To ensure that in the event of insolvency the lending bank or MFI recovers its rights, the client authorizes all Partner Mobile Network Operators (PMOs) of the Digitalis system to debit their Mobile Money account to repay their debt, which consists of the loan principal plus service fees and, where applicable, penalties.
The client agrees not to contest with the PMO the amounts claimed from them by the Digitalis system: any dispute may only be raised with the General Management of the lending Microfinance/Bank, or in case of non-settlement, in the courts of Yaoundé and Douala.
It is understood that the automatic debit order consented to by the Client under these Terms is only triggered and executed by the PMO once the lending Microfinance/Bank gives the order to the DigiXAdvance system.
f) Notification in the Special Terms of the DigiXAdvance Mobile Loan
The Client receives, in the DigiXAdvance menu on their phone, a USSD notification proposing the bank or MFI willing to grant them a loan and the conditions of granting said overdraft. In case of acceptance, the client receives an SMS confirming the loan disbursement.
g) Scoring of the DigiXAdvance Overdraft
To avoid handling overdraft requests on a case-by-case basis—which would result in the inability to manually process the large number of requests expected—the partner bank or MFI chooses a prior automated credit analysis. This involves recording, in a credit scoring sheet, the factors that enable the Digitalis system, in collaboration with the PMO’s platform, to assign scores that determine and frame credit limits.
h) Overdraft Limit
The determination of the overdraft limit depends on the score assigned to the client by the Digitalis system, based on the credit rating provided by the partner bank or MFI, all configured in the DigiXAdvance system.
Repayment of an DigiXAdvance Mobile Overdraft
The overdraft requested by the client is deemed payable once it is credited to the client’s Mobile Money account. The overdraft is recovered by the MFI/Bank during the client’s salary transfer.
VIII - MECHANISM OF THE DigiXAdvance Loan
a) It is understood that the DigiXAdvance loan is granted to the client exclusively by the bank or MFI duly authorized by COBAC, and that Mobile Money (MMC), in collaboration with its value-added service provider Digitalis, has only the role of managing the application solution enabling the execution of DigiXAdvance operations.
b) In the event of granting the overdraft to the clientthe DigiXAdvance platform informs the lending MFI/Bank of the amount actually borrowed automatically and in a dematerialized manner.
c) To grant the overdraft to the client, the DigiXAdvance platform automatically debits the electronic payment account (OVA) of the bank or MFI opened at MMC in order to credit the client’s Mobile Money account.
IX - FREE CHOICE OF MFI BY THE CLIENT
The Client acknowledges that their acceptance of the special terms preceding the granting of their loan, in which the name of the bank or MFI covering their transaction appears—and which they could have refused—constitutes their free choice of the bank or MFI.
By “special terms” is meant the duly signed subscription forms as well as the DigiXAdvance client journey presenting the menus.
X - RIGHTS OVER THE USER’S PERSONAL INFORMATION
By accepting these terms, the user authorizes the lending bank or MFI, acting through the DigiXAdvance platform, to request and obtain from partner PMOs all personal information and data held by them in order to offer and manage Digitalis products and services, including any other information that may enable said financial institutions to better identify the user, manage their risks, and comply with regulatory banking requirements and “Know Your Customer” evaluation methods.
By accepting these terms, the user authorizes and gives consent to the partner PMOs and the lending banks and MFIs, acting through the DigiXAdvance platform, to disclose the personal information they may hold concerning the user, which may be used for the optimal management of their DigiXAdvance operations within the platform.
Hereby, the user also authorizes that, in the context of overdraft requests, the partner banks or MFIs, acting through the DigiXAdvance platform, reserve the right to request, when necessary and at any time, and obtain additional information. The inability to provide said information within the required time frame may result in the rejection of the mobile loan request or the termination of the credit function for the client.
XI - TERMINATION OF THE AGREEMENT WITH THE Digitalis SYSTEM
a)In case of breach:
Without prejudice to other provisions of these General Terms, the Digitalis system, acting on behalf of the partner banks or MFIs, may exclude clients from its system and thus cease to receive their DigiXAdvance overdraft requests, in the event of client default for various reasons.
b) If the banks or MFIs acting through the Digitalis system terminate their relationship with the MNO for any reason, the client will then be notified through the Digitalis system.
c)Upon termination of any Agreement with the client, all amounts to be repaid shall become due in full.
XII - LEGAL FEES AND OTHER DISPUTES
If the client fails to pay the full amount due after the prescribed deadlines, the bank or MFI acting through the DigiXAdvance platform will be entitled to charge the client reasonable fees (including legal fees, where applicable) incurred in the recovery process until the very last cent of the amount due is collected.
XIII - CLIENT’S EQUIPMENT AND RESPONSIBILITIES
The lending bank or MFI shall not be held liable for any error or failure due to malfunction of the user’s equipment, nor for any loss or delay caused by a malfunction of the partner MNO’s system.
The user accepts and acknowledges that they bear full responsibility for protecting and making proper use of their equipment as well as ensuring the confidentiality and security of their secret information.
The client shall immediately inform the DigiXAdvance platform through its Customer Service in the following cases:
- When they have reason to believe that their PIN Code or MOMO password is or may be known to an unauthorized person and/or has been compromised;
- When they have reason to believe that unauthorized use of the Services has occurred, may have occurred, or may occur and that a transaction may have been carried out fraudulently or compromised.
The client must systematically follow the security procedures periodically communicated to them by the DigiXAdvance platform or any other procedures that may apply to the services from time to time.
The client must never operate or use the Digitalis System in any way that is detrimental to the lending bank or MFI.
XIV - DISCLAIMER OF LIABILITY
The lending bank or MFI, acting through the DigiXAdvance platform, shall not be liable for any loss or damage suffered due to or in connection with:
Any circumstance whatsoever beyond the control of the Digitalis system, including, but not limited to, force majeure events, error, interruption, delay, or unavailability of the system, terrorist attack, or war causing equipment failure, power outage, bad weather or undesirable atmospheric conditions, and failure of the public or private telecommunications system.
If, for any reason, the DigiXAdvance services suffer interference or are not available, the sole responsibility of the bank or the MFI acting through the DigiXAdvance platform will be to restore the availability of the services as soon as possible.
No dispute between the customer and their Mobile Network Operator will give them the right to evade their obligation to repay the due amount within the deadlines.
XV - INTELLECTUAL PROPERTY
The user undertakes not to infringe intellectual property rights on the DigiXAdvance service.
XVI - DISCLOSURE OF INFORMATION
By this agreement, the client expressly accepts and authorizes the Digitalis system to share their personal information with their banks and MFIs, with its other technical or other partners, or to disclose, receive, record, or use their personal information held by them.
Therefore, under these Terms and Conditions, the user waives any right or claim they may assert against the Digitalis system and its partners regarding the disclosure of the aforementioned information by them or on their behalf.
XVII - NOTIFICATION
The DigiXAdvance service may send information relating to transactions by SMS or any other technological means to the client’s mobile phone number, whether associated or not with their DigiXAdvance or mobile money account.
XVIII - DISPUTE RESOLUTION, COMPETENT JURISDICTION AND ARBITRATION
Any dispute arising from or in connection with these Terms and Conditions not resolved by the DigiXAdvance Customer Service may be submitted to the courts of the Republic of Cameroon, which have exclusive jurisdiction.
XIX - - INCONSISTENCY OF TERMS
In case of inconsistency between these general terms of use and the specific conditions of the client’s USSD menus, the terms of the client’s specific conditions shall prevail.
This version of the contract enters into force on Tuesday, September 6, 2022.