Why Is My M Shwari Loan Limit Zero? (Here are 4 Reasons)

Why Is My M shwari loan Limit Zero?

M-Shwari loan is a micro-credit product that was created through a partnership between Safaricom and NCBA bank. This product enables you to get a loan through mobile, with no paperwork needed or physical appearances to a bank or Safaricom offices.

The loan is offered at 9% facilitation fee (7.5% Loan Fees and 1.5% Excise Duty). and is due in one month. Once you repay before the due time you enjoy a refund of 20% on the facility fee charged. This facility is also known as M shwari soft loan.

Failure to pay on the due date you are charged a penalty of 9% for the next 30 days. The penalty is added to the loan amount.

What happens when you default on the Mshwari loan? You will be listed to the Credit Reference Bureau (CRB) because NCBA is a fully fledged bank. This hugely affects your credit score

Well, this loan has helped some Kenyans from the time it was introduced. Many have been able to finance their projects or enterprises, while others have used the loan in times of emergencies.

However, some people keep wondering  ‘Why is my M Shwari loan limit zero?’ and that is the issue we are are going to explain below.

Why Is My M Shwari loan Limit Zero?

Loan limits are from as low as Ksh 1000. The M shwari maximum loan limit is Ksh. 1 Million. Each person has a different limit amount depending on the qualifications (mainly credit score) and transaction history.

How to Activate the Mshwari Loan Limit?

When you want to apply for a Mshwari loan, you go to Mpesa and check if you had already activated Mshwari. If you have failed before; The first question is “Why is my Mshwari not activating?

There are various reasons to this which depend on eligibility. If you are eligible there is a guideline on how to activate.

    • Go to Mpesa on your phone
    • Navigate to Loans and Savings section
    • Select Mshwari
    • Choose activate option / (wezesha)
    • Updated Mshwari menu will display
    • Accept the terms and conditions
    • A confirmation message will be sent

How to Check M-shwari Loan Limit

After activating you can check the M-shwari loan limit by following the following procedure:

    • Go to Mpesa
    • Select Loans and Savings
    • Choose Mshwari
    • Pess ‘Loan @ 9% for 30 days
    • Choose Check Loan Limit
    • Enter Mpesa Password
    • You will receive your Mshwari Loan limit as a message and you will be charged Ksh. 1 to check your limit.

M-shwari loan limit

If you are wondering how to hack Mshwari limit, there is no legal or ethical way to do it and most people (if not all) who are claiming to increase Mshwari limit on social media are mostly fraudsters.

Sometimes they lie to people to opt out and opt back in which sometimes reduces the M-Shwari loan limit or if one is lucky it increases the limit depending on a reevaluation by the system.

There is no standalone M shwari loan app but one can use My Safaricom app and MPesa app to access M Shwari.

You may find that your Mshwari Loan Limit is zero and am here to tell you why.

Why Is My M shwari Loan Limit Zero?

Below are some of the reasons why your M-Shwari limit is zero:

  • New Mpesa user– if your number is new to the Mpesa services then your Mshwari loan will take sometime for you to qualify. You must be a Safaricom user for a period of at least 6 months
  • You rarely use Safaricom services – these services include the use of calls, data, and Mpesa services. Safaricom is able to access all sim card data and this entails the services mentioned above. Actively using these services shows there is an owner who is responsible for the line. So there are high chances of restoring or even increasing the loan limit
  • No savings with Mshwari– besides lending money, Mshwari has an option of saving money in the account. The more you save the better since you get higher chances of accessing a loan
  • Low credit score– if you are listed on CRB then you cannot access loans with Mshwari since it means you are a defaulter. Please avoid being listed

How can I increase my Mshwari limit From Zero?

These are some of the ways to increase M-Shwari limit:

Go to Mpesa, loans, and savings, press Mshwari, go to send to Mshwari, put amount and Mpesa pin, and save.

Why is my M shwari Loan limit zero

There is also a tab for lock savings accounts under Mshwari. This means you can lock your savings for a period of time and earn a certain interest rate until the savings mature.

  • Increase Mpesa transactions– the Safaricom tool kit entails much with Mpesa services, e.g. buying airtime, sending and receiving money, saving with a locked savings account, withdrawing money, etc
  • Pay loans on time– paying Mshwari loans on time helps in increasing your credit score with time
  • Use more other Safaricom services– other services that show your Mpesa line is active are often making voice calls, buying data, etc
  • Pay all outstanding loans– if you have loans with any other lending merchant, clear them on time and do not default. Once you are listed with CBK Mshwari will offer no loan

The above are some of the ways of increasing M-Shwari limit.

If you are wondering how to opt out of Mshwari, you need to visit the nearest NCBA bank branch and fill out account closure. One has to clear any outstanding loans or withdraw any amount more than Ksh. 1 in their M-Shwari accounts.

Closing Remarks

When ones Mshwari limit is zero that can be troublesome especially if one is not eligible for first-time. However, as discussed above that should not discourage you from using it.

I have discussed above why your M-shwari limit is zero where some of the reasons include new Mpesa user, rarely using Mpesa services, no saving with Mshwari, and low credit score.

I believe being patient pays and a time will come when you will be able to get loans on Mshwari. If you are eligible maintain the discipline of paying loans on time to keep up with the limit. I hope and trust that the information above was helpful.

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