M-Pesa stands as the foremost mobile money transfer platform in Kenya. In an announcement dated March 10, 2022, Safaricom revealed that M-PESA had exceeded 30 million monthly customer usages in Kenya.
During this announcement, Mr. Ndegwa, CEO of Safaricom, highlighted, “The surge in M-Pesa customer usage is attributed to the introduction of several innovations over time, such as financial services like M-Shwari, KCB M-Pesa, and Fuliza.”
In this article, we present a compilation of M-Pesa Loan products accessible to Kenyans. The comprehensive list of Safaricom’s M-Pesa loan products available for Kenyans to utilize includes:
Mshwari provides customers with instant access to loans in their M-Pesa accounts. The loan amounts range from Kes 1,000 to a maximum of Kes 1,000,000, with a repayment duration of 30 days. The charges encompass a loan fee of 7.5% and 1.5% excise duty deducted from the loan amount sent to M-Pesa.
2. KCB Mpesa
KCB Mpesa offers a savings and loan service allowing M-Pesa customers immediate access to loans credited to their accounts, ranging from a minimum of Kshs 1,000 up to Kshs 1,000,000, with a 30-day repayment period. The charges include a facility fee of 8.64%, loan fees of 7.35%, and 1.29% excise duty.
Fuliza serves as a continuous overdraft service enabling Safaricom’s M-Pesa customers to complete transactions even when facing insufficient funds in their M-Pesa accounts.
4. Halal Pesa
Halal Pesa is a Shariah-compliant digital financing product powered by M-Pesa in partnership with Gulf African Bank, tailored for customers who adhere to Shariah law.
5. Bloom Finance
Safaricom collaborates with a financial service provider to offer a credit facility between Kshs 5,000 and 150,000 for Lipa na M-Pesa Buy Goods partners. This facilitates credit for sales expansion, stock financing, and business operations.
6. Mpesa Fanikiwa
Mpesa Fanikiwa, a recently launched loan product by Safaricom on a trial basis, permits borrowing between Kshs 100 and 10,000 at a 5% interest rate over 30 days.
7. Faraja Loan
Faraja Loan, a point-of-sale credit, allows the purchase of goods and services and bill payments from partner outlets at 0% interest. It operates on selected merchants, enabling shopping from Kshs 20 to 100,000, with 30-day and 7-day loan terms.