Mshwari Loans: How to Secure and Repay a Mobile Loan

Mobile loan

Have you ever been in a situation where you needed an extra amount of cash but didn’t know where to source it? Mshwari loans could be the answer to your question!

What Are Mshwari Loans?


M-shwari is a paperless banking service that is offered through a partnership between Safaricom and NCBA.

It gives qualified Safaricom subscribers loans from Ksh 100 to Ksh 50,000 with a repayment period of 30 days. For every mobile loan taken, Safaricom levies a 7.5% fee.

Who Qualifies for an Mshwari Loan?

  1. A person who has been a Safaricom subscriber for more than six months and has been saving on M-shwari or using other Safaricom services such as MPESA, voice calls, internet, and text messaging.
  1. A Mshwari user with no pending Mshwari loans

How to Get Your Mshwari Loan

Here are steps that will bring you closer to your Mshwari loan.

  1. Go to the Safaricom Mpesa Menu and click on “M-PESA“

2. Click on “Loans and Savings”

3. Go on “M-shwari”

4. Click on “Loan”

5. Click on “Request Loan”

6. Enter desired amount and click “OK”

7. Enter your M-pesa Pin and click “OK”

Safaricom will then send a message to your device informing you whether or not you have qualified for a loan.

The amount of money you can receive at any given time is determined by regular usage, with users having their loan limits increased with every loan they take.

Repaying Mshwari Loans

In a period of 30 days after taking your Mshwari loan, Safaricom requires you to pay it back – at an accrued interest of 7.5% of the amount borrowed. This means that if you borrow Ksh 500, for instance, you will have to pay back Ksh 537.50  

If you are not able to pay back your loan on time, you will be given an extra 30 days for repayment. However, an extra facilitation fee of 7.5% of the amount you would pay on time (Ksh.537.50) will apply. This means that in the instance where you borrowed Ksh 500 but were not able to repay on time, you will have to repay a total of Ksh 575.

What is the Benefit of Repaying an Mshwari Loan?

Every time you pay your Mshwari loan on time, you get an opportunity to increase your loan limit. The faster you pay, the higher the amount you can borrow the next time you are in need of  a loan.

It is important to note that loan repayment is not the only way you can increase your Mshwari loan limit, your Mshwari saving habit, usage of Mpesa, and other Safaricom services such as voice and data also affect your limit.

How to Repay an Mshwari Loan:

  1. Go to the Safaricom menu on your phone and click “M-PESA”

2. Click on “Loans and Savings”

3. Go on “M-shwari”

4. Click on “Loans”

5. Click on “Pay Loan”

6. Choose which account your repayment will be made from

7. Enter the amount you’d like to repay

8. Input your Mpesa pin and send

Safaricom will then send you a prompt confirming the repayment made to your Mshwari loan account.

Having a hard time accessing a loan on Mshwari? Here are the best loan apps in Kenya that you can consider as alternatives

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