Rates last checked 4 November 2026. Source: NCBA M-Shwari information. Confirm your offer and terms in M-PESA before borrowing.
Managing debt starts with knowing where your money goes.
M-Shwari loans are helpful, but automatic M-PESA deductions can make budgeting difficult. Shmoney automatically organizes your M-PESA transactions so you can plan your repayments easily.
Understanding M-Shwari Loan Charges
M-Shwari, offered in partnership between Safaricom and NCBA Bank, does not charge a traditional monthly interest rate. Instead, it charges a one-off facilitation fee.
- Facilitation Fee (7.5%): A flat fee charged on the loan amount you request.
- Excise Duty (1.5%): An additional tax levied on top of the loan amount.
- Total Cost (9%): The combination of the facilitation fee and excise duty means your loan costs exactly 9% of the requested amount.
How Repayment Works
Unlike some other loans, M-Shwari typically deducts the 9% fee upfront from the disbursed amount, though the total loan value you owe remains the requested amount. The standard loan repayment period is 30 days.
Late Payment: If you fail to repay the loan within the 30-day period, an additional 9% facilitation fee is rolled over onto your outstanding balance for another 30 days. It is critical to repay on time to avoid debt spirals.