KCB M-PESA: Charges, Loans and Savings

Deposits from M-PESA into KCB M-PESA are free, minimum KES 1, up to KES 70,000 per transaction and KES 140,000 per day. Withdrawals from KCB M-PESA back to M-PESA are also free, subject to M-PESA limits. Balance inquiry and e-statements are free. Transactions through other KCB bank accounts or KCB Mtaani agents attract standard bank fees, so the free part is specifically the M-PESA to KCB M-PESA bridge.

KCB's FAQ gives the cost of a one-month KCB M-PESA loan as 7.35% of the amount. KCB's product page lists 8.80%, and Safaricom's page lists an 8.93% facility fee, so check the figure on your confirmation screen before you accept. None of the three pages says the fee is taken out before the money reaches you. At 7.35%, a KES 10,000 loan costs KES 735 for the month. You can borrow from KES 100 up to KES 1 million (Safaricom). Repay from the M-PESA menu (Loans and Savings, KCB M-PESA, Pay loan) or by paybill 522559 with the borrower's ID number as the account. See how to pay a KCB M-PESA loan. To qualify you must be 18 or older, an M-PESA subscriber for at least six months, active on Safaricom services, and registered with your National ID.

The fixed savings account pays 6.3% per annum, opens free, needs a minimum of KES 500, and locks for 1, 3, 6 or 12 months, with early withdrawal forfeiting interest. The target savings account also pays 6.3% per annum, needs a minimum target of KES 1,000 and contributions from KES 50, and allows early withdrawal with interest earned to date.

On the M-PESA app choose Grow then KCB M-PESA then Activate, or on MySafaricom or the SIM Toolkit go to Loans and Savings then KCB M-PESA then Activate, or dial *334#, choose Loans and Savings, then KCB M-PESA, then Activate.