KCB M-PESA loan disbursements cross KSh10B mark
Revolutionary mobile-based bank account KCB M-PESA has advanced KSh10.3 billion in loans to its customers since inception about two years ago, boosting access to credit in Kenya.
The savings and micro credit platform, a joint initiative of Safaricom (NSE: SCOM) and KCB, has also signed up 6.4 million accountholders so far. The accountholders have KSh286.1 million saved on the platform. Every day, the platform advances between KSh25 million and KSh30 million in loans.
Safaricom CEO Bob Collymore said that the huge success that KCB M-PESA has enjoyed highlights the value of strategic partnerships in delivering innovative solutions that are aligned to customer needs.
“Through this platform, we have been able to contribute towards driving the financial inclusion agenda. Of great significance has been its role in providing a backup plan for our customers to free them from the fear of unforeseen events,” Mr Collymore added.
KCB M-PESA was launched in March 2015. The platform allows registered customers to save up to KSh1 million, earning up to 6 per cent in interest. Accountholders can also access up to KSh1 million in instant loans, accessible on the M-PESA menu on the SIM toolkit under the updated Savings and Loans tab.
On his part, KCB Group CEO, Joshua Oigara said that the new platform leverages technological innovation to deliver financial products and services.
“The ubiquitous mobile phone has changed the way financial services are consumed. It has made it cheaper and more convenient for accountholders to access their bank accounts,” Mr Oigara added.
KCB M-PESA is now available directly on the M-PESA menu, and customers no longer need to dial *844# to access it. Customers registered on KCB M-PESA are required to go to their M-PESA Menu > Loans & Savings > KCB M-PESA to see how much they can borrow and follow the prompts to secure the loan which will be sent to their KCB M-PESA accounts instantly. The loan amount is determined by the amount of savings that the customer has made, M-PESA balance, and their savings on both Safaricom and KCB platforms and usage of their suite of products. Customers also have the option of operating fixed deposit accounts – fixed savings account and target savings account – on KCB M-PESA.