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Mpesa Loan Apps in Kenya

By Oluchukwu Ikemefuna

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Before we consider some of the best Mpesa loan apps in Kenya, we need to first satisfy the question, “what is Mpesa?”

M-PESA stands as Africa’s most successful mobile money service and the largest fintech platform in the region. It has become the preferred method for payments throughout the continent, catering to both banked and unbanked individuals, owing to its safety and unparalleled convenience.

Additionally, M-PESA extends financial services to millions of mobile phone users who lack bank accounts or have limited access to banking services.

Currently, M-PESA serves over 51 million customers across seven African countries, offering a secure, affordable, and efficient way to perform various financial transactions. These include sending and receiving money, topping up airtime, paying bills, receiving salaries, accessing short-term loans, and more.

Launched on March 6, 2007 by Safaricom, a Kenyan associate of Vodafone, M-PESA has solidified its position as Africa’s premier mobile money service. It boasts a vast network of over 604,000 active agents spread across the Democratic Republic of Congo (DRC), Egypt, Ghana, Kenya, Lesotho, Mozambique, and Tanzania.

Also read: M-shwari Soft Loan Requirements

How M-Pesa Works

Fintech innovations like M-Pesa are driven by the goal of financial inclusion, primarily targeting underbanked or unbanked individuals. Financial inclusion aims to address the needs of residents who lack access to banks or cannot meet the minimum deposit requirements in the digital banking era.

To achieve success in this endeavor, collaboration across various sectors is crucial, enabling the sharing of data to construct a robust digital platform.

This collaborative approach, exemplified by M-Pesa, is rapidly evolving in sub-Saharan Africa. Here, telecommunications and banking sectors are joining forces to develop mobile banking services for those with limited traditional banking access.

M-Pesa operates as a virtual banking system, offering transaction services through a SIM card. Once the SIM card is inserted into a mobile device, users can initiate payments and money transfers to vendors and family members using SMS messages.

For users without bank accounts, M-Pesa outlets scattered across the country provide access. At these outlets, users can hand over the money they wish to store to the kiosk attendant, who then digitally transfers the amount to the user’s M-Pesa account.

Now that we have established the purpose of M-Pesa, let’s look at a few loan apps associated with this giant fintech-telcom company.

Also read: Request Loan: How to Apply for a Personal Loan in 2024

Tala Loan App

M-Pesa loan apps in Kenya

Tala, formerly known as Mkopo Rahisi, is one of the best M-Pesa loan apps that pioneered mobile lending services by offering loans that require only online registration and application. It provides instant loans through mobile phones and operates primarily in Kenya, although its headquarters are in California, USA. So, how does Tala work exactly?

Tala, an mpesa loan app functions as an app that provides instant loans in Kenya, accessible via smartphones and other mobile devices. The initial step involves downloading the app on your device, followed by completing the registration process and applying for a loan.

Upon qualifying for a loan, the funds are immediately deposited into your M-Pesa account. The loan amount depends on your M-Pesa transaction history, with a higher transaction volume resulting in a higher loan limit. The app scans your phone’s M-Pesa messages to gather this data.

Initially, the loan limit typically starts at Kshs. 500 or higher. Over time, you can raise the limit to Kshs. 50,000 by increasing service usage, making early repayments, and conducting multiple M-Pesa transactions.

Tala’s loans are unsecured, eliminating the need for collateral or a guarantor. However, this leads to shorter repayment periods compared to traditional financial institutions, currently set at 30 or 21 days.

Additionally, Tala charges a “service fee” instead of an interest rate, currently at 15% for 21 days and 11% for 30 days. To access the service, you must have an internet-enabled device like a smartphone or tablet with the Tala loan app installed.

Read here: How to Download the Tala Loan App

Senti Loan App

M-Pesa loan apps in Kenya

Senti, a newcomer in the realm of money lending apps, offers seamless loans directly to your M-Pesa account. You can obtain the app either by downloading it from the Senti website or accessing it on Google Play, where it boasts over 100,000 downloads. Their loan offerings extend up to KES 70,000.

Senti operates as a micro-credit mobile app, simplifying access to loans for individuals in Kenya, regardless of time or location.

To register on Senti, follow these steps:

  1. Download the Senti app.
  2. Register with accurate details on the Senti mobile app.
  3. Verify your details using the one-time password sent to you.
  4. Apply for a loan and receive fast cash directly into your M-Pesa account.

Are you familiar with their borrower-friendly loan terms?

Senti offers a loan product with a repayment period of up to 90 days, providing customers with flexibility to choose what suits them best. The repayment terms range from 15% to 20% for a one-time repayment.

Moreover, as you consistently make timely repayments, you can elevate your limit to as high as KSh 70,000, enabling you to grow with Senti and access increased financial opportunities.

iPesa Loan App

iPesa loan stands out as one of the latest mpesa loan apps in the country, providing swift, dependable, and convenient emergency funds to eligible individuals. It has gained prominence as one of the leading financial apps, receiving numerous positive reviews. If you find yourself in need of a loan to address essential expenses, iPesa should be your top choice.

Similar to many lenders in the country, iPesa utilizes a machine-learning algorithm to assess your creditworthiness. This algorithm scans your device’s messages and other information to evaluate your capacity to repay loans punctually. If you are uncomfortable with this service accessing such data on your device, it’s advisable not to apply for financing through iPesa.

Accessing credit from this lender is exclusively possible through their official application. You can download the app from the Google Play Store or the App Store. For Smart WP users, installing an Android OS emulator on their devices allows them to access the services provided by iPesa.

L-Pesa Loan App

L-Pesa has revolutionized access to loans through mobile devices, prioritizing the transfer of loan funds to mobile banking accounts. This service has significantly contributed to ensuring universal access to credit, regardless of location, and without the requirement for collateral.

The L-Pesa app empowers users to take charge of their finances. By leveraging data from their phones, including SMS history, the app verifies identity and establishes a credit score, simplifying the process of obtaining a personal loan. Users can apply for credit anytime, anywhere, as the app operates 24/7. Here are the key features offered by the app:

  1. No paperwork, collateral, or office visits are necessary.
  2. Flexibility to use the loan for personal or business purposes.
  3. No late charges or rollover fees.
  4. Access to larger loans, reduced fees, and flexible repayment terms as users repay.
  5. Fast approval and deposit of loans into the user’s account.

LendPlus Loan App

M-Pesa loan apps in Kenya

If you find yourself in need of a quick cash boost between paychecks, require a substantial amount to fulfill small business orders promptly, or are seeking funds for emergencies, LendPlus emerges as a viable option in the Kenyan mobile app loans market.

LendPlus, legally known as Aventus Technology Limited, is a FinTech company in Kenya launched by the Aventus Group in 2021. It provides instant digital loans with a generous limit of Ksh30,000, featuring a daily interest rate of 2% for a maximum tenure of 30 days, with the option to extend repayment.

To qualify for a LendPlus App Digital Loan, applicants must be Kenyan citizens aged 21 years or older, employed or self-employed with a stable income, possess a valid mobile phone number linked to the M-PESA mobile wallet, and have a national identity card.

However, LendPlus does not extend loans to individuals in certain professions such as the military, police, or security sector. Additionally, there are specific counties where LendPlus has not yet initiated loan issuance. Applicants should also have a credit history and generally fall within the age bracket of 21 to 60 years to be eligible for a LendPlus digital loan.

Also read: Current Price of Fuel in Nigeria, Kenya and South Africa

FAQs about Mobile Loan Apps in Kenya

1. What are mobile loan apps?

Mobile loan apps are digital platforms that allow users to access quick loans directly on their mobile devices without the need for extensive paperwork or collateral.

2. How do I download and install these loan apps?

You can download and install mobile loan apps from various app stores such as Google Play Store or directly from the app provider’s website.

3. What are the eligibility criteria for obtaining loans from these apps?

Eligibility criteria typically include being a Kenyan citizen, having a valid mobile phone number linked to mobile money services like M-Pesa, being of a certain age range (usually 21 to 60 years), and having a stable income source.

4. How long does it take to receive loan approval and disbursement?

Loan approval and disbursement timelines vary among different apps. Some apps offer instant approval and disbursement within minutes, while others may take a few hours or even days.

5. What are the repayment terms and interest rates for these loans?

Repayment terms, interest rates, and loan amounts vary depending on the specific app. Generally, repayment periods range from a few days to a month, with interest rates ranging from a flat fee to a daily interest rate.

6. Are there any fees or charges associated with these loans?

Yes, most mobile loan apps may have fees or charges such as processing fees, late payment fees, or extension fees. It’s essential to review and understand the fee structure before applying for a loan.

7. Can I extend the repayment period if needed?

Some apps offer the option to extend the repayment period for an additional fee. However, not all apps may provide this flexibility, so it’s crucial to check with the specific app provider.

8. Are there any restrictions on loan usage?

Loan usage is generally flexible, allowing borrowers to use the funds for various purposes, including personal expenses, business needs, emergencies, bill payments, or other financial obligations.

9. What happens if I default on loan repayment?

Defaulting on loan repayment may result in additional fees, penalties, or negative impacts on your credit score. It’s essential to communicate with the app provider and discuss repayment options if facing difficulties.

10. Are these loan apps safe and secure?

Most reputable mobile loan apps employ robust security measures to protect users’ personal and financial information. However, it’s advisable to choose apps from trusted providers and review their privacy and security policies before sharing sensitive information.


So there you have it. These are some of the loan apps associated with M-Pesa, offering genuine and reliable financial solutions to individuals and businesses in Kenya. Whether you need quick cash between paychecks, funds for business operations, or emergency money, these apps provide accessible options without the hassle of traditional banking processes.

With features like instant approval, flexible repayment terms, and minimal documentation, they empower users to manage their finances conveniently.

However, it’s essential to understand the terms, fees, and eligibility criteria before choosing a loan app. By leveraging technology and collaboration between telecom and financial sectors, these apps contribute significantly to financial inclusion, bridging the gap for the underbanked and unbanked populations.

As the fintech landscape continues to evolve, these mobile loan apps play a vital role in shaping the future of digital finance in Kenya.

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Christian Maximilian
Christian Maximilian

I am a Software Engineer, technical writer, and overall tech enthusiast. For me, utilizing my skills as a Software Engineer to perform Technical Search Engine Optimization is not just a job, but something I gladly incorporate into my pastimes as well, and I have been doing this for over 3 years.

When I'm not coding or writing technical documentation, I enjoy listening to music and exploring new genres.

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