M-Pesa has revolutionized lending in Kenya. With over 30 million users and instant access to loans 24/7, M-Pesa loans are the fastest way to get cash in Kenya. But which M-Pesa loan is best for you?
In this comprehensive guide, we'll compare all major M-Pesa loans, show you how to increase your limits, and help you choose the right one for your needs.
Top M-Pesa Loans Comparison Table
| Loan | Max Amount | Interest Rate | Period | Best For |
|---|---|---|---|---|
| KCB M-Pesa ⭐ | KES 250,000 | 1.16% monthly | 1-12 months | Lowest rates |
| M-Shwari | KES 1,000,000 | 7.5% monthly | 30 days | Highest limits |
| Fuliza M-Pesa | KES 100,000 | 1.083% daily | Flexible | Overdraft |
| Hustler Fund | KES 50,000 | 8% annually | 14 days | Government loan |
#1. KCB M-Pesa - Best Overall
KCB M-Pesa
BEST RATESInterest Rate
1.16% monthly
(14% annually - lowest in Kenya!)
Max Loan
KES 250,000
Grows with repayment history
✓ Pros:
- • Lowest interest rate in Kenya (1.16% monthly)
- • Flexible repayment (1-12 months)
- • High loan limits (up to KES 250,000)
- • Fixed deposit option for savings
- • Instant approval and disbursement
✗ Cons:
- • First-time limit is low (KES 500-2,000)
- • Requires consistent M-Pesa usage
How to Access:
Dial *522# from your Safaricom line
#2. M-Shwari - Highest Limits
M-Shwari
HIGHEST LIMITSInterest Rate
7.5% monthly
(90% annually - expensive!)
Max Loan
KES 1,000,000
Highest M-Pesa loan available
✓ Pros:
- • Highest loan limits (up to KES 1 million)
- • Instant approval - no paperwork
- • Savings account with interest
- • Lock savings feature (earn higher interest)
- • First M-Pesa loan service (most established)
✗ Cons:
- • High interest rate (7.5% monthly = 90% annually)
- • Short 30-day repayment period
- • Reports to CRB immediately on default
How to Access:
Dial *234# from your Safaricom line
#3. Fuliza M-Pesa - Best for Overdraft
Fuliza M-Pesa
OVERDRAFTDaily Fee
1.083%
Plus one-time access fee
Max Limit
KES 100,000
Automatic overdraft protection
✓ Pros:
- • Automatic - no application needed
- • Complete transactions even with zero balance
- • Pay when you have money (flexible)
- • No fixed repayment date
- • Works for all M-Pesa transactions
✗ Cons:
- • Daily fees add up quickly
- • Access fee charged each time
- • Can lead to debt cycle if not careful
How to Access:
Automatically activated for eligible M-Pesa users
How to Increase Your M-Pesa Loan Limit
1. Use M-Pesa Frequently
Your loan limit is based on M-Pesa transaction history. The more you use M-Pesa, the higher your limit.
- ✓ Send money to friends/family regularly
- ✓ Pay bills via M-Pesa (electricity, water, rent)
- ✓ Buy airtime and bundles
- ✓ Use Lipa Na M-Pesa at shops
- ✓ Maintain positive M-Pesa balance
2. Always Repay On Time
This is the MOST important factor. Every on-time payment increases your limit.
Pro Tip:
Set M-Pesa reminders 2 days before loan due date. Late payments drastically reduce your limit.
3. Use M-Shwari Savings
Regular savings in M-Shwari Lock Savings shows financial discipline and increases loan limits.
- ✓ Lock savings for 1-6 months (earn 7-10% interest)
- ✓ Keep consistent balance in M-Shwari savings
- ✓ Avoid withdrawing savings frequently
4. Wait Patiently
Loan limits increase gradually. Most users see significant increases after:
- • 1 month: First small increase (KES 500-2,000)
- • 3 months: Moderate increase (KES 5,000-15,000)
- • 6 months: Major increase (KES 20,000-50,000)
- • 12+ months: Maximum limits (KES 100,000+)
Which M-Pesa Loan Should You Choose?
Choose KCB M-Pesa if:
- ✓ You want the lowest interest rate
- ✓ You need longer repayment (up to 12 months)
- ✓ You can wait for limit to grow
- ✓ You want to save money on interest
Choose M-Shwari if:
- ✓ You need large amounts (KES 50K+)
- ✓ You have high M-Pesa transaction volume
- ✓ 30-day repayment is manageable
- ✓ You want the highest possible limit
Choose Fuliza if:
- ✓ You need emergency overdraft
- ✓ You can't wait for loan approval
- ✓ You'll repay within a few days
- ✓ You want automatic protection
Choose Hustler Fund if:
- ✓ You want lowest rates (8% annually)
- ✓ 14-day repayment works for you
- ✓ Small amounts are enough (KES 500-50K)
- ✓ You want government-backed loan
Ready to Apply?
Compare all M-Pesa loans and find your perfect match