6 Unbelievable Disadvantages of Piggyvest

6 Disadvantages of Piggyvest

Piggyvest is an online financial institution whose main motive is to save money for Nigerians and even non-Nigerians. This platform operates with a mobile app that allows its users to transfer funds to them for saving purposes.

This company started operations in 2016 as Piggybank and later changed to Piggyvest. It Is licensed by the federal government of Nigeria as a microfinance bank which made this company very legit and safe to save money with.

Once you save money with them, you will be getting huge interest and once you sign up, you will get a #1,000 bonus once you invest any amount, even 100 naira. Click here to Download, register and get 1,000 naira bonus

Enough of introduction, now let’s dive into the main topic which is the problems of Piggyvest.

Problems Of Piggyvest

As we all know, in this life there will always be problems or at least some minor problem or problems no matter how good anything is.

I recommend Piggyvest 100% and I use them too, but as a neutral observer and user, I need to write about the disadvantages or the little problems I have encountered with them. So, this review is just and impartial.

The cons am talking about in Piggyvest are:

1. Currency Limitations: One of the issues I discovered with this app or company is the issue of a huge currency limitation.

Piggyvest operates primarily in Nigerian Naira (NGN), limiting its accessibility to users from other countries.

Although you can convert your Naira to US Dollars and save, still, Naira being the only primary currency is very limiting.

So, this may be a disadvantage for individuals residing outside Nigeria who might prefer platforms that support multiple currencies and offer cross-border transactions.

2. Limited Investment Options: One of the downsides of this app or financial company is its little or few investment plans.

This company focuses mainly on low-risk investment plans like Treasury Bills and Fixed Deposits. In fact, to me, Fixed deposit is the main investment plan for its customers. This simply means locking your money with Safe Lock until a stipulated period while it yields you a great interest rate.

Although these few investment plans of theirs ensure safety, it also means that their customers will miss out on potentially higher returns available in riskier, yet potentially more rewarding, investment options such as stocks or mutual funds, etc.

Although i am okay with these few investment plans of theirs, but these my observed limitations may not suit everybody, especially those with a higher risk appetite or those seeking diversification for better long-term growth.

3. Lock-in Periods: Piggyvest has a very long time lock-in period which so many people might not see fit.

Although you as a customer has the right to choose the period you want your money to be locked, but smaller lock periods have a smaller interest rate, and so, many people tend to set their lock periods for a long time without thinking about emergencies.

As I mentioned above, this long lock period is a great disadvantage in times of emergency. So, If a customer faces a financial crisis or requires immediate access to his savings, the lock-in periods may cause frustration and inconvenience.

Although some money in Safe Lock could be withdrawn in times of emergency, but under a strict penalty.

4. Withdrawal Charges: Withdrawing funds from Piggyvest often incurs charges.

I know that many banks and other financial institutions do put withdrawal and deposit charges, but I don’t think it is very necessary for Piggyvest to have these charges.

I mean this platform only charges 1 to 2 percent of your money when you withdraw. Well, let’s say it’s normal because others do it, but up to 2 percent of withdrawal money is kind of too much.

I think these charges may lead some users to reconsider using the platform, particularly when they need more flexibility with their finances.

5. Customer Support Issues: In any business, one of the most important things is good customer care and service.

This is because sometimes customers may encounter some difficulties and become confused and frustrated, but with good and 24/7 customer service, things become easier and smooth.

I have not experienced this myself, but some customers have reported issues related to customer support on the Piggyvest platform.

As I explained above, delayed responses or lack of satisfactory resolution to problems can be very frustrating for Customers who seek urgent assistance and support. Effective customer care is very important, especially when dealing with financial matters. So any deficiencies in this area can undermine the platform’s credibility.

6. Reliance on Technology: Although in this 21st century, the world has gone digital and many things are now being done online such as banking, marketing, and even working online, etc, but sometimes technology might disappoint which might frustrate those using it.

As a blogger, I know that we sometimes experience downtimes, poor loading, and poor network. So, Piggyvest being reliant on technology may likely experience any of the above problems. Although I have noticed any myself while using it.

Well, am not saying that this is a huge problem, but it could be averted with good and more trusted technology.

Is It Possible For Piggyvest To Crash

Piggyvest can crash, fold, or be sold, but your money is safe.

As I explained above in this article, Piggyvest is a registered company with the Central Bank Of Nigeria which licensed it as a microfinance bank.

So, it can’t easily crash but I can. After all, banks do fold. But even if it eventually does, your funds are safe.

PiggyVest on its own has no access to your fund, all saved funds are warehoused with and managed by AIICO Capital.

Also, PiggyVest owns and operates the Gold Microfinance Bank, a licensed Microfinance bank registered with the Securities and Exchange Commission (SEC).

They are also a registered cooperative- Piggytech Cooperative Multipurpose Society Limited (Registration number, 16555).

With all these investments and registrations of theirs, even if they crash, you will still get your money as you are insured by the CBN.

So, if you ask me, it is nearly impossible for them to crash, the highest they will sell the company to other investors, and your money will still be safe.

Conclusion

These disadvantages I wrote above are my personal opinions based on my observation as one of the customers and also from what I have heard other customers complain about.

Although I still recommend them 100% because their services are ok to me and their interest rates are cool. Lol 😁.

Am not saying that you should judge them based on my personal opinions, you have the right to observe and agree or disagree with me anyway.

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