...

New Mpesa Charges 2024/2025: Updated Rates & Tarrifs

Joseph Wenani
8 Min Read

Mpesa by Safaricom has stood as a lifesaver for you and me in the landscape of mobile transactions. Since its inception in 2007, Mpesa has grown into an essential part of daily life for over 30 million users across Kenya, evidencing the profound impact of mobile money services on financial inclusion and economic activity in the region. The year 2024 marks a significant milestone for Mpesa users as Safaricom introduces updated charges for Mpesa transactions. This change is pivotal, considering the central role Mpesa plays in Kenya’s economy, affecting personal and business transactions nationwide.

The updated Mpesa charges for 2024 have sparked considerable discussion among users, financial analysts, and industry observers alike. These adjustments encompass a range of transactions, including sending money to both registered and unregistered users, ATM withdrawals, and transactions between business accounts and customers. For instance, sending money to unregistered users now incurs charges ranging from Ksh 6 for transactions of 101 to 500 Ksh, to Ksh 105 for transactions of 50,001 to 150,000 Ksh, reflecting a nuanced approach to transaction costs based on the amount transferred​​​​​​. Similarly, withdrawal charges from Mpesa agents have been updated, with costs varying significantly depending on the transaction size, thereby necessitating a closer examination by users to manage their expenses effectively​​​​.

With that said, let us dive in together and get started on new Mpesa charges for 2024:

Understanding New Mpesa Charges 2024

The updated charges for Mpesa transactions in 2024 have been carefully structured to cater to a wide range of transactions, ensuring clarity and predictability for users. Here’s a comprehensive overview:

TRANSACTION RANGE (KSHS)TRANSACTION TYPE AND CUSTOMER CHARGES (KSHS)
MINMAXTRANSFER TO M-PESAUSERS, POCHI LABIASHARA AND BUSINESS TILL TO CUSTOMERTRANSFER TO OTHER REGISTERED MOBILE MONEY USERSWITHDRAWAL FROM M-PESA AGENT
149FreeFreeN/A
50100FreeFree11
1015007729
5011,000131329
1,0011,500232329
1,5012,500333329
2,5013,500535352
3,5015,000575769
5,0017,500787887
7,50110,0009090115
10,00115,000100100167
15,00120,000105105185
20,00135,000108108197
35,00150,000108108278
50,001250,000108108309
ATM Withdrawal Tariff
MinMaxKshs
200 250035
2501 500069
5001 10000115
10001 35000203
OTHER TRANSACTIONSKSHS
All DepositsFREE
M-PESA RegistrationFREE
Buying Airtime through M-PESAFREE
M-PESA Balance EnquiryFREE
Change M-PESA PINFREE

Tips for Minimizing Mpesa Charges

With the introduction of the updated Mpesa charges in 2024, it’s become more important than ever for users to find strategies to minimize transaction costs. Whether for personal use or business transactions, optimizing how you use Mpesa can lead to significant savings over time. Here are practical tips and strategies to help reduce the financial impact of these new charges.

Strategies to Reduce Transaction Costs

  1. Consolidate Transactions: Instead of making multiple small transactions, consolidate your transfers and withdrawals where possible. For example, if you plan to send money to family members or employees, doing so in a single transaction can reduce the total charges incurred​​​​.
  2. Utilize Free Transaction Thresholds: Take advantage of the free transaction thresholds for transfers between Mpesa users. For amounts up to 100 Ksh, sending money to other Mpesa users remains free. This can be particularly useful for small, routine payments​​.
  3. Plan Withdrawals Carefully: Withdrawal charges are tiered based on the amount, so plan your withdrawals to minimize fees. If possible, withdraw larger amounts less frequently, ensuring you stay within safe limits for carrying cash​​​​.
  4. Leverage Lipa Na Mpesa for Purchases: When paying for goods and services, use Lipa Na Mpesa whenever possible. This service is free for customers, and using it can save on withdrawal charges that would be incurred if cash were withdrawn for payment​​.
  5. Monitor Promotions and Discounts: Safaricom occasionally offers promotions that can reduce transaction costs. Staying informed about these promotions through official Safaricom communications can help you take advantage of reduced rates or bonus services​​​​.

Leveraging Mpesa Features and Promotions

  • Bonga Points: Mpesa users can earn Bonga points for transactions, which can be redeemed for various rewards, including transaction fee waivers. Regularly check your Bonga points balance and redeem them to offset costs where applicable​​.
  • Mpesa Global: Consider using Mpesa Global in partnership with services like PayPal or Western Union for international transactions. This can be a cost-effective way to send and receive money internationally, compared to traditional bank wire transfers which may incur higher fees​​.
  • Mshwari & KCB M-Pesa: Use Mshwari or KCB M-Pesa for savings and loans. These services offer competitive interest rates for savings and convenient access to credit, which can be more cost-effective than other borrowing options. Keeping savings in Mshwari or KCB M-Pesa also makes funds easily accessible directly from your Mpesa wallet without withdrawal charges​​​​.

FAQs on Mpesa Charges

What is the maximum balance for a Mpesa account?

  • The maximum balance a Mpesa account can hold is Ksh 300,000. This limit is set to ensure compliance with regulatory standards and to safeguard the financial ecosystem​​.

How much does it cost to send Ksh 50,000 via Mpesa to another registered user?

  • To send Ksh 50,000 to another Mpesa user, the charge is Ksh 108. This fee structure is part of the 2024 updates, designed to accommodate various transaction sizes efficiently​​​​.

What are the charges for withdrawing money from a Mpesa agent?

  • Withdrawal charges at Mpesa agents vary by amount. For example, withdrawing amounts between 50 to 100 Ksh incurs a charge of 10 Ksh, with the fee increasing progressively for larger amounts, reaching up to 300 Ksh for withdrawals between 50,001 to 150,000 Ksh​​​​.

Are there any transactions that remain free on Mpesa?

  • Yes, several key Mpesa transactions remain free, including depositing money into your Mpesa account, registering for Mpesa, buying airtime through Mpesa, checking your Mpesa balance, and changing your Mpesa PIN​​.
Share This Article
1 Comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Seraphinite AcceleratorOptimized by Seraphinite Accelerator
Turns on site high speed to be attractive for people and search engines.