Safaricom Mpesa charges will be revealed to the customers on the cost of transaction, in compliance with a Competition Authority of Kenya directive.
You will now know what Safaricom MPesa charges are on any transaction of cash transfer or bill payment.
Safaricom is complying with an instruction issued by the Competition Authority of Kenya (CAK) last year. Ideally, customers are supposed to receive notification on Mpesa Charges on every transaction before they confirm the payment.
Safaricom customers who use MPesa to pay a bill or transfer cash are now informed of the fees associated with the transaction in an SMS immediately after the transactions.
Safaricom said that this real-time notification system will be implemented in upcoming phases of the project.
“In the second phase, customers will receive a pop up message informing them of any charges prior to the transactions,” Safaricom said in a statement.
The final phase will see Safaricom implement changes to its system so that customers of value added services like M-Shwari and M-Tiba can receive similar notifications. These changes will be fully implemented by the end of May, which is the deadline set by the Competition Authority of Kenya (CAK).
The Competition Authority of Kenya (CAK) last year ordered financial institutions and telecom firms providing mobile money services to start revealing the fees associated with such services to its customers.
The directive was meant to correct the ambiguous details of transaction charges on mobile money.
To get the cost of transactions before or after the transaction, customers frequently had to depend on writeups at money transfer agency shops, inquire for the various mobile money transaction charges online or just calculate the balance on their mobile money account and what one previously had before the transaction.
Airtel was the first telco to start giving its customers transaction charges, Safaricom followed with an SMS after each transaction showing the Safaricom Mpesa charges to the customer.
According to Competition Authority of Kenya (CAK), only eight firms have to date conformed with the order.
Among Kenya’s seven first tier banks, only Co-operative Bank was making the disclosures as required.
2.46 Trillion through mobile money in 9 montha. Kenyans moved Sh2.46 trillion through mobile money in the nine months to September 2016. This is clear evidence of the massive growth experienced in a technology that was introduced in Kenya a decade ago.
Banks are working on taking a bigger chunk of this business with Pesalink mobile money service of their own.