Institute for Money, Technology & Financial Inclusion

This study investigated Automated Teller Machine (ATM) fraud in southwest Nigeria since extant studies have not examined the unintended consequences of ATM subscription, particularly from the victims’ perspective. Using a sequential exploratory strand of mixed methods, data was collected from both ATM users and victims of ATM fraud using a multi-stage sampling procedure. This involved purposive selection of participants in Lagos and Oyo states. The prime category of participants, namely ATM fraud victims, was reached through the snowball method. In-depth interviews were conducted, while key informant interviews with the police and bank officials in charge of ATM were also conducted. Copies of a questionnaire were administered to students, businessmen and women, civil servants, artisans, and lecturers in the two states. The findings showed that fraudsters were mostly victims' children, friends, relatives, and lovers. The effects of fraud on the life chances of victims included business collapse, deferment of housing needs, psychological trauma, and financial insecurity. Arising from the findings, we recommend a policy which would consider the peculiar socio- demographics of customers to engender financial inclusion.