M-Shwari is a Kenyan mobile money lending service owned by both Safaricom’s Mpesa and NCBA bank – the merger between NIC Bank and CBA bank. You can apply for M-Shwari loan by either using the Mpesa menu from Safaricom’s SIM tool kit (STK) or through the mySafaricom app, which can be accessed from the Play Store.
To qualify for an M-Shwari loan, you must be an active Mpesa user, regularly save on M-Shwari, and be a frequent user of other Safaricom services like voice, data, and Mpesa.
M-Shwari allows you to borrow a minimum of Ksh. 100 and up to a limit of Ksh. 50,000, at a one-time interest rate of 7.5%.
M-Shwari loan repayment period is 1 month.
If you fail to repay your M-Swhari loan in time, first, Safaricom will use part of the amount held in your M-Shwari deposit account as collateral to clear the loan.
If there are no funds in your M-Shwari account, you will incur a rollover fee at a rate of 7.5% of the amount borrowed.
M-Shwari loan defaulters are also not allowed to apply for another M-Swari loan for a period of 30 days in addition to restrictions on accessing Okoa Jahazi services.
Dire consequences will see your details get listed on CRB, subject to full repayment of the loan facility.