The rise of fintech has forced traditional banks in Nigeria to significantly accelerate their digital transformation. Many banks that were reluctant to invest in technology have launched competitive mobile apps and USSD services. We're seeing banks partner with fintechs rather than just competing - like Access Bank's partnership with Paystack and GT Bank's work with Flutterwave. This coopetition model benefits consumers with more seamless financial services.

Fintechs have dramatically impacted fee structures. Traditional banks used to charge significant fees for transfers and account maintenance. Competition from fintechs offering free or low-cost alternatives has forced banks to reduce these fees. Additionally, neobanks like Kuda and Carbon have eliminated account maintenance fees entirely, putting pressure on traditional banks to follow suit or risk losing customers.

Customer service expectations have transformed. Fintechs like Piggyvest offer 24/7 support via in-app chat and quick response times. Traditional banks have had to improve their customer service approach, with many now offering WhatsApp support and more responsive social media teams. Banks unable to match these service levels are losing younger, tech-savvy customers to more responsive alternatives.

Traditional banks still maintain advantages in lending and regulatory compliance. While fintechs excel at payments and savings products, established banks leverage their balance sheets and long customer histories for better credit assessment. However, this gap is narrowing as fintechs develop alternative credit scoring models using transaction data and digital footprints.