The rate at which banks are adopting Payment Technology (PT) calls for investigation into benefit and efficient customer service Patronage. This study is therefore carried out to examine the effectiveness of Payment Technology on Service Delivery of Micro finance bank (MFBs) in Nigeria. The study was carried out in Lagos State with Two hundred and Fifty (250) Questionnaires administered and distributed to staff of the selected MFBs, ten (10) staff each was picked from the Twenty-Five (25) selected MFBs across all the fifty-seven (20+37Lcda) local government in Lagos state. (www.lagosstate.gov.ng/news). Two hundred (200) Questionnaires were found useful for the purpose of the study representing 80% of the total questionnaire distributed. Both Primary and Secondary data was used. The data collected were analyzed using descriptive and inferential statistical tools. The descriptive statistics used included percentages and tables while ANOVA was used to analyze the study hypothesis. Finding reveal that Payment Technology (PT) has a positive influence on service delivery by MFBs and the result of tested hypothesis buttress the significance relationship between PT and MFBs. To this end, It is recommended that Government should provide adequate power supply to reduce operating cost of efficient use of Payment Technology (PT), regulatory authorities like CBN should set standards for these MFBs to practice, awareness about availability of PT product and services should be made available for MFBs and finally, Government should endeavor to empower Micro finance banks (MFBs) financially in order to easy for MFBs to embrace the use of Payment Technology (PT)