Transferring money from your bank account to M-PESA has become part of daily life for millions of Kenyans. Whether you’re paying bills, sending money to family, or managing business transactions, understanding these charges saves you money.
This comprehensive guide breaks down bank to M-PESA transfer fees across all major Kenyan banks. You’ll discover which banks offer the best rates, hidden costs to watch for, and smart strategies to minimize your transfer expenses in 2026.
Understanding Bank to M-PESA Transfers
Moving money between your bank account and M-PESA wallet provides flexibility that modern Kenyans depend on. Knowing how the system works helps you make cost-effective decisions.
How Bank to M-PESA Transfers Work
Bank to M-PESA transfers allow you to move funds directly from your bank account to your mobile wallet. This electronic transfer happens instantly through integrated systems connecting banks and Safaricom.
You can initiate transfers through multiple channels. Mobile banking apps, USSD codes, internet banking platforms, and bank branches all facilitate these transactions with varying convenience levels.
The process is straightforward and secure. Once you provide your M-PESA number and amount, banks authenticate the transaction and credit your mobile wallet within seconds to minutes.
Transfer limits vary by bank and account type. Most banks allow transfers up to KES 150,000 per transaction, though daily limits may differ from single transaction maximums.
Why Transfer Charges Exist
Banks and telecommunications companies both benefit from these transfers. According to the Central Bank of Kenya, financial institutions charge fees to maintain infrastructure, ensure security, and generate revenue from digital services.
Processing costs justify some charges. Banks invest heavily in technology, cybersecurity, and regulatory compliance to ensure safe money transfers.
Government taxes add to costs. The 20% excise duty on financial services increases the final charges you pay when moving money between accounts.
Competition influences pricing. Banks with larger customer bases sometimes offer lower rates to attract and retain clients, creating market variations.
The Charging Structure Change
January 2023 marked a significant shift in Kenya’s financial landscape. Banks reintroduced charges for bank-to-mobile money transfers after a period of zero fees during the COVID-19 pandemic.
This change reversed the cashless promotion period. In 2020, the government and banks temporarily waived charges to encourage digital transactions and reduce physical cash handling.
The reintroduction disappointed many Kenyans. Previously free transfers suddenly cost money, adding expenses to everyday financial management and business operations.
Round-trip costs add up quickly—moving KES 5,000 from mobile money to bank and back now costs approximately KES 83, up from zero. This reality affects how people manage their finances daily.
Complete Bank to M-PESA Charges Breakdown
Understanding exactly what each bank charges helps you choose the most cost-effective option for your financial needs.
Equity Bank Charges
Equity Bank provides transparent bank-to-mobile wallet transfer charges, though rates vary by transaction amount. Their fee structure accommodates both small and large transfers.
Equity to M-PESA Transfer Charges:
| Amount Range (KES) | Charge (KES) |
| 1 – 1,000 | 10 |
| 1,001 – 1,500 | 10 |
| 1,501 – 2,500 | 25 |
| 2,501 – 3,500 | 40 |
| 3,501 – 5,000 | 45 |
| 5,001 – 7,500 | 50 |
| 7,501 – 10,000 | 55 |
| 10,001 – 15,000 | 65 |
| 15,001 – 20,000 | 65 |
| 20,001 – 35,000 | 78 |
| 35,001 – 50,000 | 90 |
| 50,001 – 70,000 | 100 |
| 70,001 – 100,000 | 105 |
| 100,001 – 150,000 | 108 |
Note that these charges are exclusive of government taxes, meaning the actual amount you pay includes additional levies that increase total costs.
Equity Bank allows transfers through their mobile banking app, Equitel line, and internet banking platform. The charges remain consistent across all channels.
KCB Bank to M-PESA Charges
KCB Bank offers bank-to-M-PESA transfers through their mobile banking platform and USSD code *522#. Their fee structure aims to balance affordability with service sustainability.
KCB to M-PESA Transfer Charges:
| Amount Range (KES) | Charge (KES) |
| 1 – 999 | 11 |
| 1,000 – 1,500 | 11 |
| 1,501 – 2,500 | 28 |
| 2,501 – 3,500 | 45 |
| 3,501 – 5,000 | 50 |
| 5,001 – 7,500 | 56 |
| 7,501 – 10,000 | 61 |
| 10,001 – 15,000 | 72 |
| 15,001 – 20,000 | 72 |
| 20,001 – 35,000 | 87 |
| 35,001 – 50,000 | 100 |
| 50,001 – 70,000 | 112 |
| 70,001 – 100,000 | 117 |
| 100,001 – 150,000 | 120 |
KCB customers can also use the KCB M-PESA service for seamless transactions. The bank’s digital channels provide 24/7 access to transfer services.
NCBA Bank to M-PESA Charges
NCBA Bank, formed from the merger of NIC Bank and Commercial Bank of Africa, provides digital banking through the NCBA NOW app and USSD code *488#.
NCBA to M-PESA Transfer Charges:
| Amount Range (KES) | Charge (KES) |
| 1 – 1,000 | 10 |
| 1,001 – 1,500 | 10 |
| 1,501 – 2,500 | 25 |
| 2,501 – 3,500 | 40 |
| 3,501 – 5,000 | 45 |
| 5,001 – 7,500 | 50 |
| 7,501 – 10,000 | 55 |
| 10,001 – 15,000 | 65 |
| 15,001 – 20,000 | 65 |
| 20,001 – 35,000 | 78 |
| 35,001 – 50,000 | 90 |
| 50,001 – 70,000 | 100 |
| 70,001 – 100,000 | 105 |
| 100,001 – 150,000 | 108 |
These charges are not inclusive of the 20% excise duty, so factor in additional costs when calculating your actual transfer expenses.
Co-operative Bank to M-PESA Charges
Co-operative Bank serves millions of Kenyans through their MCo-op Cash platform integrated with M-PESA. Their charges remain competitive within the market.
Co-op Bank to M-PESA Transfer Charges:
| Amount Range (KES) | Charge (KES) |
| 1 – 1,000 | 10 |
| 1,001 – 1,500 | 10 |
| 1,501 – 2,500 | 25 |
| 2,501 – 3,500 | 40 |
| 3,501 – 5,000 | 45 |
| 5,001 – 7,500 | 50 |
| 7,501 – 10,000 | 55 |
| 10,001 – 15,000 | 65 |
| 15,001 – 20,000 | 65 |
| 20,001 – 35,000 | 78 |
| 35,001 – 50,000 | 90 |
| 50,001 – 70,000 | 100 |
| 70,001 – 150,000 | 108 |
The MCo-op Cash service allows instant transfers and bill payments directly from your Co-operative Bank account.
Standard Chartered Bank to M-PESA Charges
Standard Chartered provides premium banking services with corresponding transfer fee structures. Their digital platforms offer convenience for tech-savvy customers.
Standard Chartered to M-PESA Charges:
| Amount Range (KES) | Charge (KES) |
| 1 – 1,000 | 15 |
| 1,001 – 1,500 | 15 |
| 1,501 – 2,500 | 28 |
| 2,501 – 3,500 | 41 |
| 3,501 – 5,000 | 51 |
| 5,001 – 7,500 | 56 |
| 7,501 – 10,000 | 62 |
| 10,001 – 15,000 | 73 |
| 15,001 – 20,000 | 73 |
| 20,001 – 35,000 | 88 |
| 35,001 – 50,000 | 101 |
| 50,001 – 150,000 | 113 |
Standard Chartered’s slightly higher charges reflect their positioning as a premium bank with enhanced security features and customer service.
Also Read: PayPal to MPESA Withdrawal Made Simple
Other Major Banks
Family Bank offers competitive rates with slightly different tier structures. They include an additional bracket for KES 15,000-20,000 range.
National Bank provides detailed breakdowns showing both bank charges and telecommunications fees separately, offering transparency in cost allocation.
DTB (Diamond Trust Bank) maintains charges similar to Standard Chartered, catering to business customers and individual account holders.
I&M Bank stands out significantly. I&M Bank doesn’t charge customers for bank to mobile money transfers, making them the most cost-effective option for frequent transferers.
Comparison Table: Major Banks to Bank to M-PESA Charges
| Bank | KES 1,000 | KES 5,000 | KES 10,000 | KES 50,000 | KES 100,000 |
| Equity Bank | 10 | 45 | 55 | 90 | 105 |
| KCB Bank | 11 | 50 | 61 | 100 | 117 |
| NCBA Bank | 10 | 45 | 55 | 90 | 105 |
| Co-op Bank | 10 | 45 | 55 | 90 | 108 |
| StanChart | 15 | 51 | 62 | 101 | 113 |
| I&M Bank | 0 | 0 | 0 | 0 | 0 |
Hidden Costs and Additional Fees
Understanding all charges beyond basic transfer fees prevents unexpected expenses eating into your budget.
Excise Duty Impact
The government imposes 20% excise duty on financial services. This tax significantly increases advertised transfer charges.
When a bank quotes KES 50 for a transfer, the actual charge becomes KES 60 after excise duty. This 20% addition applies across all transaction amounts.
Excise duty aims to generate government revenue while regulating financial services. According to KRA, these taxes fund national development projects and service delivery.
Calculate true costs before transferring. Add 20% to quoted charges to understand what actually leaves your account.
M-PESA Receiving Charges
Most people forget that M-PESA itself charges for certain transactions. While receiving money from banks to M-PESA is free, subsequent actions may incur costs.
Withdrawing cash from your M-PESA wallet costs money. M-PESA withdrawal fees vary by amount, with larger withdrawals attracting higher charges.
Sending money from M-PESA to another person carries charges. These fees add to your total cost if you’re using bank-to-M-PESA transfers as an intermediary step.
Business transactions have different fee structures. Lipa Na M-PESA and Till Numbers may involve merchant service charges affecting final amounts received.
Transaction Limits and Restrictions
Banks impose various limits affecting how you can transfer money. These restrictions balance security with usability.
Per-transaction limits typically cap at KES 150,000. Larger amounts require multiple transactions, multiplying your transfer costs.
Daily limits may differ from per-transaction caps. Some banks allow only KES 300,000 in total daily transfers regardless of transaction count.
Monthly cumulative limits exist for some accounts. Budget accounts or student accounts often feature lower overall transfer allowances.
Minimum transfer amounts apply occasionally. While rare, some banks require transfers exceeding KES 100 or similar thresholds.
Failed Transaction Charges
Technology occasionally fails, leaving you wondering about charges for unsuccessful transfers.
Most banks don’t charge for genuinely failed transactions. If money never leaves your account, you shouldn’t incur fees.
Reversed transactions may carry costs. If money debits your account but fails to reach M-PESA, reversal processing sometimes attracts small charges.
Always verify transaction success before repeating. Multiple attempts at failed transfers can result in multiple debits requiring reversal requests.
Keep transaction confirmation messages. These SMS notifications provide evidence during disputes about failed or duplicate charges.
Smart Ways to Reduce Bank-to-M-PESA Transfer Costs
Strategic approaches to bank-to-M-PESA transfers can save you thousands of shillings monthly.
Choosing the Right Bank
I&M Bank eliminates transfer charges entirely, making them the obvious choice if you frequently move money to M-PESA.
Consider switching banks based on usage patterns. If you transfer money weekly, choosing I&M Bank could save KES 2,000-5,000 monthly compared to other institutions.
Maintain multiple bank accounts strategically. Use low-fee banks like I&M for M-PESA transfers while keeping other banks for specialized services they excel at.
Account type affects charges sometimes. Premium accounts or business accounts may offer reduced transfer fees or monthly fee waivers.
Timing Your Transfers
Consolidate transactions rather than making multiple small transfers. One KES 10,000 transfer costs less than two KES 5,000 transfers due to tiered pricing.
Plan weekly or monthly transfers instead of daily. Batching transactions reduces total charges compared to frequent small movements.
Transfer larger amounts to M-PESA when needed for bill payments. Paying directly from M-PESA wallets avoids additional bank charges for each bill.
Avoid emergency last-minute transfers. Rushing often leads to poor decisions about amount timing, potentially pushing you into higher fee brackets.
Using Alternative Transfer Methods
PesaLink offers inter-bank transfers that might be cheaper than bank-to-M-PESA-to-another-bank routes. PesaLink charges KES 50 for transfers between KES 1,000 and KES 100,000.
Direct bank-to-bank transfers eliminate M-PESA as intermediary. If sending to someone with a bank account, explore whether direct transfer costs less.
Mobile banking apps sometimes offer promotional rates. Safaricom and banks occasionally run zero-fee campaigns for specific transaction types.
Consider whether you truly need money in M-PESA. Leaving funds in your bank account until needed avoids unnecessary transfer charges.
Leveraging Digital Wallets
Some banks offer integrated wallet services with reduced fees. Equitel, KCB-M-PESA, and MCo-op Cash provide alternative pathways worth exploring.
Digital-only banks may offer competitive rates. Neobanks and fintech solutions sometimes undercut traditional banks on transfer charges.
Maintain minimum M-PESA balances for daily expenses. This strategy reduces how often you need bank-to-M-PESA transfers.
Use your bank’s debit card directly where possible. Card payments avoid M-PESA charges entirely while earning loyalty points sometimes.
Business Cost Management
Businesses moving significant amounts face substantial cumulative charges. A business transferring KES 500,000 weekly pays over KES 20,000 annually in bank-to-M-PESA fees.
Negotiate with your bank for reduced rates. High-volume users may qualify for preferential pricing not available to regular customers.
Consider business M-PESA solutions directly. Safaricom offers business accounts with different structures that might prove more economical.
Evaluate payment collection methods. Accepting direct bank payments or using PesaLink reduces reliance on M-PESA as an intermediary.
Track and analyze your transfer patterns. Understanding when, why, and how much you transfer reveals optimization opportunities.
Step-by-Step Transfer Process
Knowing exactly how to transfer money ensures smooth transactions without errors that cost time and money.
Using Mobile Banking Apps
Download and install your bank’s official mobile app from Google Play Store or Apple App Store. Verify the app is legitimate by checking developer information.
Register or log in using your credentials. First-time users need to activate mobile banking, typically requiring your account number, ID number, and ATM PIN.
Navigate to the transfer or send money section. Different banks label this differently—look for “Send Money,” “Transfer,” or “Mobile Money” options.
Select bank-to-M-PESA or mobile wallet transfer. Some apps call this “Send to Phone” or similar terminology.
Enter the M-PESA phone number carefully. Double-check the number—wrong numbers result in money sent to strangers, requiring complex recovery processes.
Input the amount you wish to transfer. Stay conscious of tier breakpoints—transferring KES 10,001 costs more than KES 10,000 in some structures.
Review the transaction summary including all charges. Confirm the total deduction amount matches your expectations before proceeding.
Authenticate the transaction using your app PIN or fingerprint. Additional security measures may include OTP (One-Time Password) sent via SMS.
Wait for confirmation messages from both your bank and M-PESA. Successful transfers generate two messages—bank debit confirmation and M-PESA credit notification.
Using USSD Codes
USSD codes work on any phone without internet connectivity. This method suits feature phones or areas with poor data connections.
Dial your bank’s USSD code from your registered phone number. Common codes include *522# (KCB), *488# (NCBA), and others specific to each bank.
Follow the menu prompts sequentially. USSD interfaces are text-based, requiring you to input numbers corresponding to menu options.
Select the send-to-M-PESA or mobile wallet option. Menu structures vary but typically appear within the first 2-3 menu levels.
Enter the recipient’s M-PESA phone number when prompted. Accuracy is critical—review the number before confirming.
Input the transfer amount. USSD confirmations usually display the fee, so verify total charges before final authorization.
Complete authentication using your mobile banking PIN. This PIN differs from your ATM PIN for security purposes.
Receive SMS confirmations. Both bank and M-PESA send messages confirming successful transaction completion.
Using Internet Banking
Access your bank’s internet banking portal through a web browser. Ensure you’re on the official website—verify the URL to avoid phishing sites.
Log in with your username and password. Many banks now require two-factor authentication for enhanced security.
Navigate to the transfers or payments section. Internet banking typically offers more detailed transaction histories and options than mobile apps.
Choose mobile money or M-PESA transfer option. Select the specific wallet type if your bank supports multiple mobile money providers.
Fill in transaction details including phone number and amount. Internet banking often allows saving frequent recipients for faster future transfers.
Review the transaction preview including all applicable charges. Internet banking displays comprehensive fee breakdowns.
Authorize using required security measures. This might involve SMS OTP, security tokens, or email confirmation links.
Print or save transaction receipts. Internet banking provides detailed receipt options useful for record-keeping and disputes.
Troubleshooting Common Bank to M-PESA Issues
Problems occasionally arise with bank-to-M-PESA transfers. Knowing how to resolve them quickly minimizes frustration and financial loss.
Failed Transactions
Failed transactions happen for various reasons. Insufficient bank balance, network timeouts, or system maintenance can interrupt transfers.
Check your bank account balance first. Failed transfers often result from trying to send more than your available balance plus fees.
Verify the M-PESA number accuracy. Incorrect numbers cause immediate failures with error messages indicating invalid recipient.
Wait during maintenance periods. Banks and Safaricom occasionally perform system updates requiring patience rather than repeated attempts.
Contact your bank if money debits without M-PESA credit. Most banks resolve these issues within 24-48 hours through automatic reversal processes.
Wrong Number Transfers
Sending money to the wrong M-PESA number creates stressful situations requiring immediate action.
Act quickly within the first few minutes. Immediate reversal requests have higher success rates than delayed attempts.
Contact M-PESA customer care at 100 (Safaricom customers) or 0722 002 100 (other networks). Explain the situation providing transaction details.
Request recipient cooperation if possible. If you know the wrong recipient, politely ask them to reverse the transaction.
File a formal complaint with your bank. Banks can sometimes intervene in fund recovery though success isn’t guaranteed.
Legal action remains a last resort. According to Consumer Financial Protection Bureau guidelines, financial institutions must assist customers with disputed transactions, though international regulations differ from Kenyan law.
Delayed Transfers
Most transfers complete within seconds, but delays occasionally occur frustrating time-sensitive payments.
Check your network connection. Poor internet or cellular connectivity can delay transaction confirmations without affecting actual processing.
Verify with M-PESA balance check. Dial *234# to confirm whether money arrived despite missing confirmation messages.
Allow 30 minutes before panic. System congestion during peak hours causes delays that self-resolve without intervention.
Contact both bank and M-PESA support simultaneously. Coordinated inquiry often identifies where transactions stalled in the process.
Provide complete transaction details when reporting. Include transaction reference numbers, amounts, timestamps, and phone numbers involved.
Overcharging Issues
Occasionally charges exceed expected amounts due to errors or misunderstanding fee structures.
Review transaction SMS carefully. Charges include excise duty often not displayed prominently in initial quotes.
Compare actual charges against published tariffs. Banks must adhere to their published fee schedules available on their websites.
Request detailed charge breakdowns. Customer care can explain itemized costs including base fees, taxes, and any special charges.
File formal complaints if overcharged. Banks must investigate and refund improper charges within specified timeframes.
Document everything for disputes. Keep SMS confirmations, app screenshots, and bank statements proving incorrect charges.
M-PESA to Bank Transfer Charges
Understanding reverse transfers completes your knowledge of money movement costs between banks and mobile wallets.
How Much It Costs
Sending money from M-PESA to bank accounts is completely free. Safaricom doesn’t charge for these transfers, making it cost-effective to move funds to banks.
Banks also don’t charge for receiving money from M-PESA. This one-way free structure encourages banking while monetizing the reverse direction.
However, combined round-trip costs matter. While M-PESA-to-bank is free, subsequent bank-to-M-PESA transfers carry normal charges.
Plan money movements strategically. Understand your near-term M-PESA needs before transferring to banks to avoid expensive return trips.
Transfer Limits and Process
M-PESA to bank transfers face daily and per-transaction limits. Maximum single transfers typically reach KES 150,000 matching bank-to-M-PESA limits.
The process is straightforward through M-PESA menu. Dial *234#, select “Send Money,” choose “Send to Bank,” and follow prompts.
You’ll need the recipient’s bank account number and bank name. M-PESA maintains partnerships with all major Kenyan banks for seamless transfers.
Transfers complete within minutes usually. Some banks process these faster than others, but most arrive within 5-15 minutes.
Frequently Asked Questions
Which bank has the lowest charges for M-PESA transfers?
I&M Bank offers the lowest charges—zero fees for bank to M-PESA transfers. This makes them the most economical choice for frequent mobile money users. If I&M doesn’t suit your needs, Equity Bank, NCBA Bank, and Co-operative Bank offer competitive rates starting at KES 10 for small transfers, making them affordable alternatives for occasional users.
Do I pay charges when transferring from M-PESA to my bank account?
No, transferring money from M-PESA to any bank account in Kenya is completely free. Safaricom doesn’t charge for these transfers, and banks don’t impose receiving fees. However, remember that moving money back from your bank to M-PESA will incur the standard bank-to-M-PESA charges, so plan your transfers strategically to minimize costs.
Are bank to M-PESA charges the same across all banks?
No, charges vary significantly between banks. I&M Bank charges nothing, while other banks charge between KES 10 and KES 120 depending on the amount transferred. Standard Chartered generally charges slightly more than local banks like Equity, KCB, and Co-op Bank. Always compare your bank’s specific tariff before making transfers to understand exact costs.
Can I avoid bank to M-PESA charges completely?
The only guaranteed way to avoid charges is banking with I&M Bank, which offers free bank-to-M-PESA transfers. Alternatively, minimize transfer frequency by consolidating transactions, keep sufficient M-PESA balance for daily needs, or use direct payment methods from your bank account where accepted. Some promotional periods offer reduced or zero fees temporarily.
Do the quoted charges include government taxes?
Most published bank charges exclude the 20% excise duty imposed by the government. The actual amount deducted from your account will be approximately 20% higher than quoted base charges. For example, a quoted KES 50 charge becomes KES 60 after excise duty. Always factor this additional cost when calculating your transfer expenses.
What’s the maximum amount I can transfer from bank to M-PESA?
Most banks limit single transactions to KES 150,000, matching M-PESA’s maximum receiving limit. Daily cumulative limits vary by bank and account type, typically ranging from KES 150,000 to KES 500,000. M-PESA accounts can hold maximum KES 500,000 at any time, and daily transaction limits also cap at KES 500,000 across all transactions.
How long does a bank to M-PESA transfer take?
Most transfers complete within seconds to 2 minutes. During peak hours or system maintenance, delays may extend to 30 minutes. If money doesn’t arrive within an hour, contact both your bank and M-PESA customer care. Keep your transaction reference number handy for faster resolution of any delays or issues.
What happens if I send money to the wrong M-PESA number?
Act immediately by contacting M-PESA customer care at 100 or 0722 002 100. Quick action increases reversal success chances. You can also contact your bank to report the error. If you know the recipient, request them to reverse the transaction voluntarily. Recovery isn’t guaranteed, especially if the wrong recipient withdraws the money quickly.