M-Shwari, a joint product of Safaricom and NCBA Bank, is a mobile savings and loan service accessed through M-PESA.
Safaricom provides the technology while NCBA handles savings, lending, and compliance.
Through M-Shwari, users can open a savings account directly from their phone, transfer funds between M-Shwari and M-PESA, and earn interest on deposits. M-Shwari savings accounts allow you to save for a specific goal at competitive interest rates.
While many people use M-Shwari for instant loans, this article focuses on how you can save and grow your money through interest with the product.
Eligibility to Have an M-Shwari Account
To be able to save and earn interest with M-Shwari, you must be a registered and active M-PESA subscriber for a minimum of six months.
One should also be at least 18 years old.
Regular use of other Safaricom services, such as voice, data, and M-PESA transactions, also strengthens one’s eligibility.
Also Read: How to Stop or Unsubscribe from Safaricom Premium SMS
One must also hold a valid form of identification, which can be a Kenyan national ID, a Kenyan passport, or an Alien ID (resident permit).
How to save with Mshwari
Before you can begin saving with M-Shwari, you need to activate your account. To do this, go to the M-PESA menu on your phone or open the MySafaricom App.
From there, select “Loans and Savings” and then choose “M-Shwari.” You will be prompted to activate your M-Shwari account, after which you should accept the terms and conditions.
Once this is done, you will receive a confirmation message from M-Shwari, letting you know that your account is active and ready for use.
To save with Mshwari, follow these steps.
- Go to your M-PESA menu on your phone or the MySafaricom App.
- Select “Loans and Savings,” then choose “M-Shwari”.
- Select the option to “Send to M-Shwari” or “Send to Bank”.
- Enter the amount of money you wish to save.
- Follow the prompts to confirm the transaction.
- Confirm the transaction. The money will be moved from your M-Pesa account to your M-Shwari account.
One can save as little as KSh 1.
To earn interest with M-Shwari, there are two main ways to save: the regular M-Shwari account and the M-Shwari Lock Savings Account.
For the regular M-Shwari account, any money you deposit earns interest automatically, depending on how much you save. The more you save, the higher the interest rate, with returns of up to 6.3% per year.
For the M-Shwari Lock Savings Account, you can save a fixed amount for a specific period—anywhere from one to six months or longer. During this time, the money cannot be withdrawn. Because the funds are locked, they earn a higher interest rate of up to 7% per year.
How to Use Lock Savings Account
To use the M-Shwari Lock Savings Account, go to the M-Shwari option on your M-PESA menu or the MySafaricom App and select Lock Savings.
Also Read: Step-by-Step Guide on How to Access Your M-Pesa Statements Online or Offline
Enter the amount you wish to save, then choose the duration to lock it in. Once locked, your funds remain untouched until the maturity date. At the end of the period, the savings are released back into your M-Shwari account, along with the interest earned.
Follow our WhatsApp Channel and X Account for real-time news updates.
