Opay vs Palmpay: Which One is Better For Daily Transactions

In Nigeria’s fast-evolving fintech landscape, mobile payment apps have become essential for everyday transactions, from paying bills to transferring money, buying airtime, and even accessing loans.

Two leading platforms, OPay and PalmPay, dominate the mobile money space, offering seamless, user-friendly services that cater to millions of Nigerians. Both apps provide similar functionalities, but their differences in features, fees, user experience, and reliability make choosing between them a critical decision for daily transactions.

Overview of OPay vs PalmPay

OPay

Launched in 2018 by Opera Software, OPay has grown into a powerhouse in Nigeria’s fintech sector. It’s more than just a payment app—it’s an all-in-one platform offering mobile money services, bill payments, savings, loans, and even ride-hailing and food delivery. Backed by a Central Bank of Nigeria (CBN) mobile money operator (MMO) license, OPay has gained trust for its reliability and extensive network of offline agents and POS terminals. Its versatility makes it a go-to for users ranging from students to business owners.

PalmPay

PalmPay, launched in 2019 by Transsion Holdings (the parent company of TECNO and Infinix), is a newer player but has quickly gained traction. It focuses on simplicity, offering a clean interface for mobile payments, bill settlements, airtime purchases, and micro-loans. PalmPay’s reward system, PalmPoints, adds value by offering discounts and cashback, making it attractive for budget-conscious users. Like OPay, it’s CBN-licensed, ensuring regulatory compliance and user safety.

Both platforms have capitalized on Nigeria’s shift toward a cashless economy, especially during banking glitches and the 2022 naira redesign crisis, which pushed users to mobile money apps. But which one is better for daily transactions in 2025? Let’s break it down.

Key Comparison Factors

1. Transaction Fees

For daily transactions, cost is a major factor. Both OPay vs PalmPay offer competitive pricing, but there are differences.

• OPay: OPay is known for low or no fees on many transactions. Transfers to other OPay accounts are free, while transfers to other banks cost ₦10–₦50, depending on the amount. Bill payments (e.g., electricity, cable TV) and airtime purchases are often free or have minimal charges. For POS transactions, OPay charges merchants 0.5% to 1% per transaction, which is competitive.
  
• PalmPay: PalmPay also offers free transfers to PalmPay accounts and low fees (₦10–₦30) for bank transfers. Its bill payment fees are minimal, and airtime purchases are often discounted through PalmPoints. For POS agents, PalmPay’s transaction fees range from 0.5% to 0.7%, slightly lower than OPay in some cases.
  

Verdict: Both apps are cost-effective, but PalmPay edges out slightly for POS transactions due to lower fees. For regular users, OPay’s free intra-account transfers and broader service range make it equally appealing.

ALSO READ: Best Money Saving Apps In Nigeria For 2025

2. Ease of Use

A user-friendly interface is crucial for daily transactions, especially for non-tech-savvy users.

• OPay: OPay’s app is intuitive, with a clean layout that makes navigation easy. Features like money transfers, bill payments, and loan applications are clearly labeled. Its USSD code (*955#) allows offline transactions, which is a lifesaver in areas with poor internet. However, some users report occasional app glitches during peak periods.
  
• PalmPay: PalmPay’s app is designed for simplicity, with a minimalist interface that appeals to beginners. Its dashboard highlights key functions like transfers, bill payments, and rewards. The app is lightweight, requiring less storage space, but it lacks a USSD option, limiting offline access.
  

Verdict: PalmPay wins for its sleek, beginner-friendly design, but OPay’s USSD feature makes it more accessible for users without consistent internet.

3. Range of Services

Daily transactions often involve more than just sending money. Let’s compare the services offered.

• OPay: OPay is a one-stop shop. Beyond payments, it offers:
  
  
  • Bill payments (electricity, water, TV subscriptions)
    
    
  • Airtime and data purchases
    
    
  • Savings and investment options
    
    
  • Instant loans without collateral
    
    
  • Ride-hailing (ORide) and food delivery (OFood)
    
    
  • POS services for merchants Its wide service range makes it ideal for users who want an all-in-one platform.
    
    
• PalmPay: PalmPay focuses on core financial services:
  
  • Money transfers
    
    
  • Bill payments
    
    
  • Airtime and data purchases
    
    
  • Micro-loans via PalmCredit
    
    
  • PalmPoints rewards for transactions While it lacks ride-hailing or food delivery, its rewards program adds value for frequent users.
    

Verdict: OPay offers more services, making it better for users who want a comprehensive fintech app. PalmPay’s rewards make it appealing for those focused on payments and savings.

4. Reliability and Network Coverage

Reliability is critical for daily transactions, especially during bank outages or network issues.

• OPay: OPay has a robust network, with thousands of offline agents and POS terminals across Nigeria. It gained popularity during the 2022 cash crunch and 2024 bank glitches, proving its reliability when traditional banking apps failed. Its transaction success rate is high, though occasional downtimes have been reported.
• PalmPay: PalmPay has also built a strong network, with POS agents in urban and rural areas. It performed well during banking disruptions, handling ₦20.7 trillion in mobile money transactions in Q1 2025 alongside OPay. However, its newer market presence means fewer agents compared to OPay.
  

Verdict: OPay’s wider agent network and proven track record give it an edge for reliability, but PalmPay is catching up fast.

5. Loan Access for Emergencies

For many Nigerians, access to quick loans is a key part of daily financial management.

• OPay: OPay offers instant loans through its OWealth feature, ranging from ₦1,500 to ₦500,000, with interest rates of 5%–30% per month. No collateral is required, and approvals are fast, often within minutes.
• PalmPay: PalmPay’s PalmCredit feature provides micro-loans from ₦2,000 to ₦100,000, with interest rates of 4%–24%. Loans are collateral-free, and repayment history can unlock higher amounts.

Verdict: OPay offers higher loan amounts, but PalmPay’s lower interest rates make it more affordable for small loans.

6. Security and Customer Support

• OPay: OPay uses encryption and two-factor authentication to secure transactions. Its customer support is available via in-app chat, email, and phone, but response times can vary during peak periods.
• PalmPay: PalmPay also employs strong security measures, including biometric authentication. Its customer support is responsive, with a 24/7 helpline and in-app chat, though some users report delays in resolving complex issues.
  

Verdict: Both apps are secure, but PalmPay’s 24/7 support gives it a slight advantage for quick resolutions.

Conclusion

Choosing between OPay and PalmPay for daily transactions in Nigeria in 2025 depends on your priorities. OPay is the better choice if you want a versatile platform with a wide range of services, including ride-hailing, food delivery, and higher loan amounts.

Its extensive agent network and USSD feature make it ideal for users in areas with limited internet or those needing an all-in-one app. PalmPay, however, shines for its simplicity, lower POS fees, and rewarding PalmPoints system, making it perfect for budget-conscious users focused on basic transactions and micro-loans.

For most Nigerians, OPay’s broader functionality and reliability make it the stronger option for daily transactions, especially in urban areas where its services are fully utilized. However, PalmPay’s user-friendly design and rewards make it a great alternative for beginners or those prioritizing cost savings. Both apps are CBN-licensed and secure, so you can’t go wrong with either just ensure you understand their fees and terms. Ultimately, try both apps to see which fits your lifestyle best, as they’re free to download and use.