Certain charges exist when any customer seeks to make a withdrawal or other transactions through the M-Pesa mobile money service. The platform is one of the top mobile money platforms that have helped business owners and individuals receive and send money with consummate ease. There are also other transactions one can also carry out on the app. For those that are perhaps not technology savvy, there are M-Pesa agent outlets one can visit to carry out different transactions as well, for a small price.
M-Pesa charges and rates witnessed an increase due to the Kenyan treasury increasing excise duty on all mobile money transfers by 2% to 12%. The charges on M-Pesa for transfer or withdrawal activities depend on the amounts involved.
Charge Rates for Withdrawal for Different Amounts from an M-Pesa Agent
M-Pesa agents serve as an alternative for customers that cannot access or make use of the M-Pesa platform on their mobile phone. Agents help customers conduct different transactions, one of which is withdrawing money from their accounts.
When a customer withdraws money from their M-Pesa account via an agent, they attract a charge. The charge rate is dependent on how much they withdraw. The higher the amount, the higher the M-Pesa charge. Below is a table reflecting the charge rates for different amounts when a customer withdraws through an agent.
| Minimum Amount (Ksh) | Maximum Amount (Ksh) | M-Pesa Charge (Ksh) |
| 1 | 49 | N/A |
| 50 | 100 | 10 |
| 101 | 500 | 27 |
| 501 | 1000 | 28 |
| 1001 | 1500 | 28 |
| 1501 | 2500 | 28 |
| 2501 | 3500 | 50 |
| 3501 | 5000 | 67 |
| 5001 | 7500 | 84 |
| 7501 | 10000 | 112 |
| 10001 | 15000 | 162 |
| 15001 | 20000 | 180 |
| 20001 | 35000 | 191 |
| 35001 | 50000 | 270 |
| 50001 | 150000 | 300 |
The table shows that the lowest charge rate for a withdrawal from an agent is Ksh 10. It is for any withdrawal that falls between the Ksh 50 – 100 range. Meanwhile, the maximum withdrawal charge from an agent is Ksh 300.
Charge Rates for Different Amounts for ATM Withdrawals
For some customers, they use ATMs for their withdrawals instead of an M-Pesa agent. This could be for different reasons, from not having an agent nearby to simply preferring to visit an ATM vestibule for their withdrawals. Using ATMs for your withdrawal attracts its charges as well, and the table below shows how the broken down cost in varying ranges:
| Min (Ksh) | Max (Ksh) | M-Pesa Charge (Ksh) |
| 200 | 2500 | 34 |
| 2501 | 5000 | 67 |
| 5001 | 10000 | 112 |
| 10001 | 20000 | 197 |
The maximum ATM withdrawal at a time is Ksh 20,000, and the accompanying charge amount is Ksh 197. The lowest M-Pesa charge for an ATM withdrawal is Ksh 34, and this applies to withdrawals within the Ksh 200 – 2500 range.
Transaction Charges for Transfers to Other M-Pesa Users
Safaricom has ensured that it favors transfers made from one M-Pesa user to another M-Pesa user. Doing this invites more users seeing as the charges are lower than transfers made between a user of the platform and a non-user.
| Min (Ksh) | Max (Ksh) | M-Pesa Charge (Ksh) |
| 1 | 49 | Free |
| 50 | 100 | Free |
| 101 | 500 | Free |
| 501 | 1000 | Free |
| 1001 | 1500 | 26 |
| 1501 | 2500 | 41 |
| 2501 | 3500 | 56 |
| 3501 | 5000 | 61 |
| 5001 | 7500 | 77 |
| 7501 | 10000 | 87 |
| 10001 | 15000 | 97 |
| 15001 | 20000 | 102 |
| 20001 | 35000 | 105 |
| 35001 | 50000 | 105 |
| 50001 | 150000 | 105 |
Transfers between two M-Pesa users are free for transfers ranging from Ksh 1 – 49 right till Ksh 501 -1000. It is very favorable for these users as it means they can send more money without paying more in charges. Also, M-Pesa charges the same amount (Ksh 105) for transfers that range from Ksh 20001 – 35000 as they do for transfers that range from Ksh 50001 – 150000.
M-Pesa Charges for Transfers to Users of other Mobile Money Platforms
Transfers also occur between users of the M-Pesa mobile money platform and users of other mobile money platforms. These transfers also attract charges to that of transfers between two M-Pesa users, with a major difference.
Charges are free for transfers between two M-Pesa users right until the Ksh 501 – 1000. However, it is only free until the Ksh 50 – 100 mark for transfers between an M-Pesa user and other mobile money users. The charge for transfers between Ksh 101 – 500 is Ksh 11, while the charge rate for transfers between Ksh 501 – 1000 is Ksh 15. Every other charge rate is the same as the rates for transfers between two M-Pesa users.
M-Pesa Rates for Transfers to Unregistered Users
Despite money mobile platforms becoming commonplace in Kenya and other parts of Africa, some individuals remain non-users of any platform. While they are unregistered, they cannot use the platform for any transaction purpose. However, a user of M-Pesa can send money to an unregistered user. This is usually a very costly thing to do as the charge rates are the highest amongst all transactions and can burden the M-Pesa user. These are the rates below:
| Min (Ksh) | Max (Ksh) | M-Pesa Charge (Ksh) |
| 1 | 49 | N/A |
| 50 | 100 | N/A |
| 101 | 500 | 45 |
| 501 | 1000 | 49 |
| 1001 | 1500 | 59 |
| 1501 | 2500 | 74 |
| 2501 | 3500 | 112 |
| 3501 | 5000 | 135 |
| 5001 | 7500 | 166 |
| 7501 | 10000 | 205 |
| 10001 | 15000 | 265 |
| 15001 | 20000 | 288 |
| 20001 | 35000 | 309 |
| 35001 | 50000 | N/A |
| 50001 | 150000 | N/A |
As seen above, the rates charged for sending money to unregistered users are significantly higher than for other transactions. It is best to encourage everyone to become registered users of a mobile money platform to reduce costs substantially.
Other Important Information to Note about Performing Transactions on M-Pesa
Finally, before you go on merrily performing transactions with your M-Pesa account, there are a few facts you should know to further improve your understanding of the platform. It is essential to know certain information beforehand, such as the maximum daily limit, minimum withdrawal amount, and maximum account balance. Knowing these things will help you be better prepared for any transaction you seek to carry out in the future.
- The maximum amount you can have in your M-Pesa account is Ksh 300,000.
- If you go to any M-Pesa agent outlet in the country to conduct a transaction, go along with any means of valid identification such as a passport or national ID card. You will be asked to present it.
- You earn Bonga points whenever you use the M-Pesa platform for any transaction.
- A customer is not allowed to deposit money directly into the account of another M-Pesa user at an M-Pesa agent’s outlet.
- You can dial *234# to view the charges applicable to the transaction you seek to carry out. Alternatively, you can use the M-Pesa cost calculator on the mySafaricom mobile app.
- The maximum daily transaction allowed is Ksh 300,000. The maximum amount allowed per transaction is Ksh 150,000. Once you reach the Ksh 300,000 limit for the day, you can no longer conduct any transaction for the day.
- The least amount you can withdraw at an M-Pesa agent outlet is Ksh 50. Any amount below this is not permitted.
- Finally, to carry out any form of transaction, ensure that both your Safaricom lines and M-Pesa accounts are active. A dormant account will not be allowed to access the M-Pesa mobile money platform.
Now that you know the above information, you are better informed about any potential information you seek to carry out.
