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Why is my M-shwari Loan Limit Zero in 2024?

By Oluchukwu Ikemefuna

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Are you wondering why your M-Shwari loan limit is zero? This would surely worry M-Shwari subscribers, particularly if they receive a message rejecting their loan for this reason. Luckily, there are a few explanations below to help you comprehend why your limit can be this low.

Due to its quick and dependable loan application process, M-Shwari Loan has grown in popularity among Kenyans. The service has experienced a large number of registrations and frequent users since its launch. 

Many elements influence your creditworthiness, just like with any other lending service. It follows that some people’s M-Shwari loan limit is 0. This is not surprising. How can you raise your limit and what can cause this? Let’s find out.

Read also – 8 Best Apps to Save in Dollars in Nigeria 2024

What is M-Shwari?

M-Shwari is a groundbreaking mobile banking service offered by Safaricom, Kenya’s leading telecommunications provider, in collaboration with NCBA Bank. It provides users with easy access to a range of financial services directly from their mobile phones. 

With M-Shwari, users can open savings accounts, access instant loans, and enjoy various banking functionalities without the need for a traditional bank account.

The platform leverages Safaricom’s extensive mobile network infrastructure to reach users across Kenya, including those in remote or underserved areas. M-Shwari has played a pivotal role in democratizing access to financial services, particularly among the unbanked and underbanked population segments.

One of M-Shwari’s key features is its simplicity and convenience. Users can perform banking transactions, such as deposits, withdrawals, and loan applications, using a simple USSD code or through the M-Pesa mobile money platform. The service also prioritizes financial inclusion by offering low transaction fees and minimum balance requirements.

Overall, M-Shwari represents a significant innovation in the financial sector, transforming the way Kenyans manage their money by providing accessible, affordable, and convenient banking services through mobile technology.

Read also – Zenka Loan App: How to get Mobile Loan in 5 Minutes

Understanding M-Shwari Loan Limit

Customers who have registered with Safaricom and have active M-Pesa lines can use the M-Shwari loan service. 

Customers can borrow and save money with their queue. Safaricom and NCBA Bank collaborate to provide the service.

In this collaboration, NCBA Bank supplies the funding and Safaricom the platform. You must activate the service and consistently save money in your Mshwari wallet in order to access this loan. Thankfully, activation is really simple.

There are the following steps to take:

1. Go to the SIM Toolkit. 

2. Choose “M-Pesa.”

3. Choose “Activate.”

After the service is up and running, a subscriber can apply for an M-Shwari loan. Nevertheless, a number of conditions must be met before the M-Shwari loan can be approved. whereby each borrower is given a unique set of lending limits.

Read also – Loan Calculator and How to Use it

Reasons why your M-Shwari Limit is Zero

M-Shwari offers loans in the range of Ksh 100 to Ksh 50,000. Your M-Pesa account will receive the money following application and approval. 

Unfortunately, not all borrowers are eligible because their M-Shwari loan limit is 0, which means they are not able to take out loans at that time.

However, why can your M-Shwari loan limit be 0? These are a few of the typical causes.

1. Minimal M-Pesa duration

A line that has been in service for at least six months is one of the prerequisites for obtaining an M-Shwari loan; as a result, if your Safaricom line has been active for fewer than six months, the M-Shwari loan limit will be zero.

2. Minimal M-Pesa transactions

Your account is active if you use M-Pesa services, like making and receiving cash withdrawals, purchasing airtime, and using pay bills and till numbers to make purchases. These actions also demonstrate the ability to repay debts financially. Your M-Shwari loan limit could drop to zero if you don’t use M-Pesa regularly.

3. Lack of M-Shwari savings

Members of M-Shwari’s savings platform can deposit and accumulate funds. It is therefore recommended that you save on a regular basis in case you need to raise your M-Shwari loan limit. You won’t have any restriction if you haven’t saved with M-Shwari.

4. Low usage of other Safaricom services

The Safaricom voice and broadband services are factored in when calculating your M-Shwari loan limit. Your quota could therefore drop to zero if you haven’t been utilizing these products regularly.

5. Late repayments or unpaid M-Shwari loan

The repayment term for M-Shwari loans is thirty days, with an additional thirty days for extensions. It does, however, come with a 9% penalty charge. Late payments on a regular basis will result in fines and a decrease in the loan amount.

Furthermore, you are unable to take out a new loan until you have paid off your current M-Shwari loan.

6. CRB blacklisting

Due to loan service defaults, M-Shwari loan limit could be zero. If this happens, you could end yourself on a Credit Reference Bureaus (CRB) blacklist, which would prevent you from getting any more loans from lenders in the future.

7. Inactivity

One common reason for a zero loan limit is inactivity on your M-Shwari account. If you haven’t been actively saving or borrowing, M-Shwari may lower your loan limit or set it to zero until you resume using the service regularly.

8. Defaulted Payments

If you’ve previously borrowed money through M-Shwari and failed to repay it within the specified timeframe, your loan limit may be reduced to zero as a consequence of defaulting on payments. Timely repayment is crucial to maintaining a healthy loan limit.

9. Creditworthiness

M-Shwari assesses your creditworthiness based on various factors, including your transaction history, savings behavior, and repayment patterns. If these indicators suggest a higher risk of default, your loan limit may be set to zero until you demonstrate improved financial responsibility.

10. Negative Balance

If your M-Shwari savings account has a negative balance, it can affect your loan limit. Ensure that your account maintains a positive balance to avoid limitations on borrowing.

Read also – Hustler Fund Loan and How to Apply

How to restore M-Shwari loan limit

The maximum loan amount on M-Shwari is Ksh. 50,000, and there are a number of circumstances that could raise your limit to that amount. Thus, there are actions you must take to raise your M-Shwari loan limit if it is now zero.

1. Use your Safaricom line regularly

Among the several services provided by Safaricom are M-Pesa and Lipa Na M-Pesa. Be sure to make regular use of these services, such as purchasing airtime credits or making purchases of goods or services.

The line is active if you use Safaricom services frequently. Your borrowing limit would be restored and raised as a result.

2. Save regularly with M-Shwari

Your M-shwari loan limit will rise if you consistently save money in your M-Shwari account. The higher the lending limit, the more you save.

3. Clear outstanding loan

In order to prevent being placed on credit reference bureaus’ blacklists, you should pay off your outstanding loan (CRB). Make sure you pay off any additional mobile loans to keep your record clean. Your loan limit will rise if you make on-time loan payments.

4. Use a single line on your M-Pesa and Safaricom services

Your creditworthiness may be impacted by using many lines. As a result, you must limit your M-Pesa activity to one queue.

5. Request for a loan occasionally

Your digital footprint in their system is enhanced when you take out a loan and pay it back on time. On time payments improve your creditworthiness and enable you to obtain a greater loan amount.

6. Increase Activity

To reactivate your M-Shwari loan limit, start using the platform actively. Make regular savings deposits and ensure timely repayment of any outstanding loans. Consistent activity demonstrates financial responsibility and can lead to an increase in your loan limit over time.

7. Maintain a Positive Balance

Ensure that your M-Shwari savings account maintains a positive balance at all times. Avoid overdrawing or allowing the account balance to fall into negative territory, as this can negatively impact your loan limit.

8. Contact Customer Support

If you believe your zero loan limit is unjustified or if you’re unsure about the reasons behind it, don’t hesitate to reach out to M-Shwari customer support for assistance. They can provide insights into your account status and offer guidance on how to restore your borrowing privileges.

How to check your M-Shwari loan limit

Finding out your M-Shwari loan limit is an easy process. 

There are the subsequent steps to take:

1. Select the “M-Pesa” menu. 

2. Choose “LoansandSavings” second. 

3. Choose “M-Shwari.”

4. Choose “Loans”

5. Next, select “Checklimit”

These are the typical causes of a 0 M-Shwari loan limit and ways to raise it. Your loan limit as an M-Pesa service user is determined by how frequently you use your line and how quickly you pay back your debts.

Additionally, a comprehensive instruction on raising your Fuliza limit was published by Tuko.co.ke. Safaricom offers Fuliza, a continuous short-term overdraft service in partnership with NCBA Bank. Regretfully, you are unable to take the Fuliza M-Pesa loan out of your M-Pesa account immediately.

If there aren’t enough funds in your M-Pesa account, you shouldn’t be concerned. If you study this article’s guidelines, you can easily apply for Fuliza and raise your limit.

Read also – Latest way to Buy Airtel Airtime on MPesa 2024

What is M-Shwari soft loan?

M-Shwari soft loan are a convenient financial service offered by Safaricom in partnership with NCBA Bank, available to users through their mobile phones. These loans provide quick access to funds without the need for traditional bank visits or extensive paperwork. 

The term “soft loan” refers to its accessibility and ease of application, making it suitable for individuals in need of immediate financial assistance.

Users can request M-Shwari soft loan directly from their phones, with the loan amount typically based on their creditworthiness and transaction history within the M-Shwari platform. 

The repayment period and interest rates are usually favorable, making it an attractive option for short-term borrowing needs. M-Shwari soft loan empower users to address urgent financial requirements promptly, whether it’s covering unexpected expenses or seizing business opportunities. 

Overall, M-Shwari soft loans offer a convenient and flexible solution for accessing funds on the go, enhancing financial inclusivity and empowering users to manage their finances effectively.


What is M-Shwari?

M-Shwari is a mobile banking service offered by Safaricom and NCBA Bank, providing convenient access to financial services through mobile phones.

How do I open an M-Shwari account?

Simply dial *234# on your Safaricom line, select M-Shwari, and follow the prompts to register. You’ll need a Safaricom SIM card and a valid ID.

What services does M-Shwari offer?

M-Shwari offers savings accounts, instant loans, and various banking functionalities such as deposits, withdrawals, and balance inquiries.

How do I access an M-Shwari loan?

Dial *234#, select Loans & Savings, then select M-Shwari. Follow the prompts to request a loan, and if you qualify, the funds will be deposited into your M-Pesa account.

What determines my M-Shwari loan limit?

Your loan limit is based on factors like your savings history, transaction activity, and repayment behavior within the M-Shwari platform.

Can I access M-Shwari services if I’m not a Safaricom subscriber?

No, M-Shwari services are exclusively available to Safaricom subscribers.

Are there fees associated with M-Shwari transactions?

Yes, there may be nominal fees for certain transactions, such as loan processing fees or savings account maintenance fees.

How do I repay an M-Shwari loan?

M-Shwari loans are typically repaid directly from your M-Pesa account. Ensure you have sufficient funds in your M-Pesa wallet on the repayment date.

Can I increase my M-Shwari loan limit?

Yes, you can increase your loan limit by maintaining active usage of M-Shwari, making regular savings deposits, and ensuring timely repayment of loans.

What should I do if I encounter issues with my M-Shwari account?

If you have any concerns or encounter issues with your M-Shwari account, you can contact customer support by dialing *234# and selecting the appropriate option for assistance.


Encountering a zero M-Shwari loan limit can be a frustrating experience, but it’s essential to understand the underlying reasons and take proactive steps to address the issue. 

By maintaining active participation, demonstrating responsible financial behavior, and seeking assistance when needed, you can work towards restoring your loan limit and enjoying the full benefits of M-Shwari’s convenient financial services. 

Remember, financial discipline and regular activity are key to unlocking the potential of M-Shwari loans and ensuring a seamless banking experience on your mobile device.

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Oluwatobi Olowe
Oluwatobi Olowe

Tobi Olowe has over 3 years of experience as a content writer specializing in Tech discoveries, site optimization, building content that rank well and boosting overall site performance.

Articles: 151

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