In what I would call a breakthrough development for mobile banking in Kenya, Safaricom, the country’s largest telecommunications provider, has confirmed that its Fuliza overdraft service now allows subscribers to withdraw their limit at MPesa agent shops.
The service, which has reportedly been available since late December, enables Fuliza subscribers to access their funds directly at MPesa agent shops, rather than having to transfer money to another number or relying on Lipa na MPesa for payments.
Safaricom has not yet made an official announcement about the new feature, and in its FAQ section on the Fuliza overdraft facility, the company currently states that it is not possible to withdraw the Fuliza limit.
However, when The Netick reached for comment, a Safaricom representative simply confirmed that the service was indeed available. ‘It’s true’, that was the simple response given.
The introduction of this new feature is expected to have a major impact on the financial landscape in Kenya, as it provides more options for customers to access their funds, and could potentially drive more uptake of mobile banking services. It is also expected to increase the convenience for the large amount of people who often rely on MPesa for transactions and payments.
Additionally, Safaricom recently reduced the cost of Fuliza, which might encourage more people to sign up who were previously put off by the daily maintenance fees.
|AMOUNT||OLD DAILY MAINTENANCE FEE||NEW DAILY MAINTENANCE FEE||% CHANGE|
|One-time Access Fee||1%||1%||No Change|
|1 – 100||KES 0||KES 0|
|101 – 500||KES 5||KES 2.5 (Free first three days)||50%|
|501 – 1,000||KES 10||KES 5 (Free first three days)||50%|
|1,001 – 1,500||KES 20||KES 18||10%|
|1,501 – 2,500||KES 25||KES 20||20%|
|2,501 – 70,000||KES 30||KES 25||16.7%|