M-Pesa has been one of the most revolutionary mobile money platforms, transforming financial inclusion across Africa since its inception. ...
M-Pesa has been one of the most revolutionary mobile money platforms, transforming financial inclusion across Africa since its inception. In 2024, M-Pesa remains a vital part of everyday transactions for millions, from simple money transfers to paying bills and purchasing goods. However, understanding the transaction charges can be challenging due to various fees depending on the transaction type, amount, and target recipient. This guide breaks down M-Pesa transaction charges in 2024, including up-to-date tables for different services, helping users make informed decisions.
1. Understanding M-Pesa Transaction Charges
M-Pesa charges depend on several factors, including:
- Type of Transaction: Sending money, withdrawing, or paying bills.
- Recipient: Sending to registered vs. unregistered M-Pesa users.
- Amount: Charges are tiered based on the transaction amount.
- Service Provider: Charges may differ if sending to other mobile networks.
For users in 2024, Safaricom has implemented adjusted rates to support financial accessibility while sustaining operational costs. Below, we explore each type of charge in detail.
2. M-Pesa to M-Pesa Transaction Charges
One of the most common uses of M-Pesa is transferring money to other registered M-Pesa users. Sending funds within the Safaricom network generally incurs lower fees compared to other types of transactions.
| Amount Sent (KSh) | Transaction Charge (KSh) |
|---|---|
| 1 - 49 | 0 |
| 50 - 100 | 1 |
| 101 - 500 | 6 |
| 501 - 1,000 | 12 |
| 1,001 - 1,500 | 22 |
| 1,501 - 2,500 | 32 |
| 2,501 - 3,500 | 42 |
| 3,501 - 5,000 | 55 |
| 5,001 - 7,500 | 75 |
| 7,501 - 10,000 | 87 |
| 10,001 - 15,000 | 97 |
| 15,001 - 20,000 | 102 |
| 20,001 - 35,000 | 105 |
| 35,001 - 50,000 | 105 |
| 50,001 - 150,000 | 105 |
Note: Transactions below KSh 50 remain free, a provision aimed at supporting small-scale traders and low-income earners.
3. M-Pesa to Non-Registered Users
Sending money to non-registered users incurs higher fees due to added handling and withdrawal processes. This is common when the recipient is on a different mobile network or does not have an M-Pesa account.
| Amount Sent (KSh) | Transaction Charge (KSh) |
|---|---|
| 1 - 49 | Not Applicable |
| 50 - 100 | 10 |
| 101 - 500 | 45 |
| 501 - 1,000 | 49 |
| 1,001 - 1,500 | 59 |
| 1,501 - 2,500 | 74 |
| 2,501 - 3,500 | 89 |
| 3,501 - 5,000 | 112 |
| 5,001 - 7,500 | 135 |
| 7,501 - 10,000 | 166 |
| 10,001 - 15,000 | 205 |
| 15,001 - 20,000 | 230 |
| 20,001 - 35,000 | 255 |
| 35,001 - 50,000 | 278 |
| 50,001 - 150,000 | 300 |
4. M-Pesa Withdrawal Charges
Withdrawing funds from an M-Pesa agent is also a frequent transaction, especially for users needing cash. The withdrawal fee is based on the amount being withdrawn.
| Amount Withdrawn (KSh) | Withdrawal Charge (KSh) |
|---|---|
| 1 - 49 | Not Applicable |
| 50 - 100 | 10 |
| 101 - 500 | 27 |
| 501 - 1,000 | 28 |
| 1,001 - 1,500 | 28 |
| 1,501 - 2,500 | 28 |
| 2,501 - 3,500 | 50 |
| 3,501 - 5,000 | 67 |
| 5,001 - 7,500 | 84 |
| 7,501 - 10,000 | 112 |
| 10,001 - 15,000 | 162 |
| 15,001 - 20,000 | 182 |
| 20,001 - 35,000 | 198 |
| 35,001 - 50,000 | 220 |
| 50,001 - 150,000 | 300 |
5. ATM Withdrawal Charges
ATM withdrawals offer a convenient way to access cash for M-Pesa users, though they typically involve a higher fee compared to agent withdrawals.
| Amount Withdrawn (KSh) | ATM Withdrawal Charge (KSh) |
|---|---|
| 200 - 2,500 | 35 |
| 2,501 - 5,000 | 50 |
| 5,001 - 10,000 | 65 |
| 10,001 - 20,000 | 80 |
6. PayBill and Lipa na M-Pesa Transaction Charges
M-Pesa’s Lipa na M-Pesa service is commonly used for paying bills, purchasing goods, and settling invoices with businesses. Many merchants have enabled M-Pesa payments to simplify transactions for customers.
PayBill Charges
Most utility payments (e.g., electricity and water) incur a minimal transaction fee, typically charged to the bill payer. However, the charges vary depending on the service provider, amount, and agreement with Safaricom.
| Amount Paid (KSh) | PayBill Charge (KSh) |
|---|---|
| 1 - 49 | 0 |
| 50 - 100 | 0 |
| 101 - 500 | 23 |
| 501 - 1,000 | 24 |
| 1,001 - 5,000 | 34 |
| 5,001 - 10,000 | 57 |
| 10,001 - 20,000 | 87 |
| 20,001 - 150,000 | 150 |
7. M-Pesa International Money Transfer Charges
M-Pesa has simplified cross-border transactions, making it easier for Kenyans to receive money from relatives abroad or make international payments. Charges for international money transfers vary based on the country and the service partner involved.
Sample Rates for Sending Money Internationally (Approximate)
| Country | Amount Sent (USD) | Transaction Charge (USD) |
|---|---|---|
| United States | 1 - 100 | 3 |
| United States | 101 - 500 | 7 |
| United Kingdom | 1 - 100 | 3 |
| United Kingdom | 101 - 500 | 6 |
| Canada | 1 - 100 | 4 |
| Canada | 101 - 500 | 8 |
| Australia | 1 - 100 | 4 |
| Australia | 101 - 500 | 8 |
Note: These charges are indicative. Fees may vary with exchange rates and specific service agreements with international partners.
8. Factors Influencing M-Pesa Charges
Several factors can influence M-Pesa transaction charges:
- Regulatory Changes: New government policies may impact M-Pesa fees, especially concerning transaction limits and taxation.
- Market Competition: As more mobile money services emerge, Safaricom may adjust rates to stay competitive.
- Service Agreements: Some service providers offer reduced fees for frequent M-Pesa transactions, particularly in the utilities sector.
- Global Economic Conditions: Exchange rates and remittance fees can impact international M-Pesa charges.
Conclusion
Understanding M-Pesa transaction charges is essential for anyone who frequently uses the service. In 2024, Safaricom continues to provide a range of pricing options tailored to different users and transaction types. With this guide, users can plan their transactions more effectively, minimizing costs and maximizing convenience. Whether sending money domestically, paying bills, or withdrawing funds, having a clear picture of these charges empowers users to make the most of M-Pesa’s extensive services.
For regular updates, it's advisable to monitor M-Pesa's official site or consult their customer service as charges may vary periodically based on policy changes.
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