Public teachers and nurses who receive salaries from the Controller And Accountant General’s Department (CAGD) in Ghana are going to be issued a One-Time Password also known as OTP. The OTP is mostly used by financial institutions to send and receive money via a banking institutions. I know you might be confused at this point, do not worry, read on.
The changes are expected to begin November 2021.
Why the OTP?
The One-Time Password will now be used by banks to transfer loans to public teachers and nurses who apply for loans at a bank. Unlike before, these group of workers would fill a loan form plus mandate forms whenever they are applying for a loan. Now, the banks will only generate an OTP for the loan applicants.
Additionally, it will be used by employees for every transaction they want to make with a third party financial or insurance institution.
Because everything is now changing form papers to online, the e-payslip of teachers and nurses will be used. Thus, employees who do not have their passport picture uploaded on the portal are advised to seek assistance at their respective district office to contact their Head of Institutions for assistance.
What is OTP?
One Time Password is a password which can be used once. When banks send it to you, it last for a very short period of time if you do not use it. However, if you do not type the code well, a new one will be sent again.
For example, if you apply for a loan, the bank will review your qualifications to see if you qualify for the said amount that is checking your affordability. If you qualify, the bank will email you a One-Time Password to confirm if you indeed the genuine person during the process. Usually, the OTP is a code (6 digits). You then type in the OTP on the system to confirm it.
This is an excellent initiative by the CAGD because it will eradicate the stress and time wasted in processing a loan facility of a teacher or nurse. However, the spamming of loan messages to government employees who receive salaries from the Account General is annoying. I hope the online system works out effectively.