June 13, 2022

Mshwari by Safaricom

Mshwari is one of the most widely used mobile loan services in Kenya. It is not just a lending platform but a paperless banking service that allows users to save in addition to borrowing. Saving money through Mshwari earns you a 6.65% interest per annum. You access loans of a minimum of Ksh. 100 and the limit rises based on your credit history. You can only access Mshwari loans if you have a Safaricom line.

M-Shwari is a paperless banking service offered through M-PESA. It will:

  • Enable you open and operate an M-Shwari bank account through your mobile phone, via M-PESA, without having to visit banks or fill out any forms.
  • Provide you the ability to move money in and out of your M-Shwari savings account to your M-PESA account at no charge.
  • Give you an opportunity to save as little as KSHs.1 and earn interest of up to 6.65% p.a on your saving balance. This cash is moved into the savings account via M-PESA.
  • Enable you to access micro credit product (loan) of a minimum of KSHs.100 any time and receive your loan instantly on your M-PESA account charged at a facility fee of 7.5%
  • Save for a fixed period of time (Lock Savings Account) and earn interest of up to 70% of the Central bank Rate.

This is a product for everyone who feels that banking should be hassle-free. No forms to fill in, no branches to visit. Just one click on your phone and you have a savings account! List of the best loan apps in Kenya for genuine instant loans

How to sign up

  1. Access through the M-PESA menu
  2. Select Loans and Savings
  • Select M-PESA and Activate.


  1. Deposit

The M-Shwari Deposit Account is a micro-savings product which allows you to securely store your money for a specific purpose or for an unexpected event in your life. Enjoy the following features when you save with M-Shwari:

  • No minimum balance
  • No charges levied on the account
  • No charges for moving money from M-PESA to M-Shwari account and vice versa

In line with the Banking (Amendment) Act 2016, all deposits on M-Shwari will earn interest of up to 70% of the Central Bank Rate

All deposits on M-Shwari will earn interest as below

The M-Shwari savings interest is calculated daily and paid out quarterly into the M-Shwari deposit account.

Customer savings amountMshwari interest rate
Kshs. 1- 20,0003% p.a
Kshs. 20,001 – 50,0004% p.a
≥ Kshs. 50,0015% p.a


  1. Loans

The M-Shwari Loan Account is a micro-credit product which allows you to borrow money in times of need or to complement your savings towards an investment or enterprise. A one-time fee of 7.5% is levied for each loan. Borrow with M-Shwari and start to build your credit history today.

In order to qualify for a loan all you need is to be an M-PESA subscriber for 6 months, save on M-Shwari and actively use other Safaricom services such as voice, data and M-PESA. To enquire how much you can borrow, go to M-Shwari, Loan, check Loan Limit.

You can access loan limits from as low as Ksh.100 and up to Ksh.50, 000.

Enjoy repayment period of one month. List of the best loan apps in Kenya for genuine instant loans

Loan repayment can be made via M-PESA, or from the M-Shwari account.

How does it work?

  1. Access the M-PESA menu.
  2. Select Loans and Savings.
  • Select M-Shwari.
  1. Select Loan.
  2. Request Loan.
  3. Enter amount.
  • Enter your M-PESA PIN

Loan amount will be sent to your M-PESA Account. The loan amount to be paid will be in inclusive of the facility fee.

  1. Lock Savings Account

This is a savings account that allows M-Shwari customers to save for a defined purpose and for a specified amount of time. The funds saved on the M-Shwari Lock Savings account will be kept in the account until the maturity date; this maturity date is determined by the customer upon opening the account and ranges between one and twelve months. Customers can make micro deposit into this.

The M-Shwari Lock Savings account is ideal for customers looking for higher interest rates and those wishing to keep money away safely for one to six months.

What are the requirements of opening a Lock Savings Account?

  1. One must be an M-Shwari customer in order to access this service.
  2. To join M-Shwari, Go to your M-PESA menu, select “My account” and “Update menu” then go to your M-PESA menu, select Loans and Savings, MShwari, click on activate account and accept terms and conditions.

What are the benefits of opening a Lock Savings Account?

  • No minimum savings
  • There are no charges levied on the M-Shwari Lock Savings account.
  • The interest rate is constant during the investment period, and is calculated and paid out monthly or at maturity.
  • The Lock period varies from one month to six months depending on the customer needs.

What interest will be payable on the M-Shwari Lock Savings Account?

M-Shwari lock savings interest is earned daily but paid out monthly into the lock savings account.

Customers Savings AmountLock Savings Interest Rate
Kshs. 1 – 20, 0003% p.a.
Kshs. 20, 001 – 50, 0005% p.a.
≥ Kshs. 50, 0016% p.a.


How does one access the Lock Savings Account Menu?

  1. The lock savings account can be accessed by going to M-PESA
  2. Loans and Savings
  • M-Shwari
  1. Lock and selecting, “Lock Savings Account”.

How do I Open and Save into Lock Savings Account?

  1. Go to M-PESA
  2. Loans and Savings
  • M-Shwari, Lock Savings Account
  1. Open Account
  2. Select to save from either M-PESA or From M-Shwari
  3. Enter Target Amount
  • Enter period between 1-6 months
  • Enter amount to save.
  1. You will receive an SMS confirmation that your Lock Savings Account has been set up.

Next time you save, go to the Lock Savings option under M-Shwari,

  1. Select to Save from either M-Shwari or M-PESA
  2. Enter Amount and then your M-PESA PIN to complete your transaction.

How will I know that my money in M-Shwari Lock Savings has matured?

Upon maturity, a notification will be sent to you via SMS from M-Shwari informing you of the amount saved and the interest earned.

Can a customer withdraw their funds before maturity date?

However, a customer will receive the requested money after 48hours. A customer has the option to withdraw the entire amount – Break Lock or make a partial withdrawal of the funds- Partial Break.

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