Understanding the M-Shwari Lock Savings Account
The M-Shwari Lock Savings Account is a secure savings feature available exclusively to M-Shwari customers. It is designed for individuals who want to save money for a specific goal within a set period—ranging from 1 to 6 months.
Once you deposit funds into the account, the money remains locked until the chosen maturity date. This ensures that your savings remain untouched, helping you stay disciplined toward achieving your financial objectives.
The service is offered through M-Pesa in partnership with Commercial Bank of Africa (CBA), making it easily accessible on your phone.
Eligibility and Minimum Deposit Requirements
- You must be a registered M-Shwari customer.
- The minimum target amount to open a Lock Savings Account is Ksh 500.
- There is no maximum limit you can save as much as you wish.
- Deposits can be made as often as you want, but M-Pesa daily transaction limits apply.
- To qualify for interest earnings, your Lock Savings Account must have at least Ksh 1,000.
Interest Rates for M-Shwari Lock Savings
Interest on your savings is calculated daily but credited to your account on the maturity date.
| Savings Amount (Ksh) | Annual Interest Rate |
|---|---|
| 1 – 20,000 | 3% P.A |
| 20,001 – 50,000 | 5% P.A |
| 50,001 and above | 6% P.A |
Note: If you choose to withdraw your funds before maturity, you will earn the standard M-Shwari savings interest rate instead of the lock savings rate.
Step-by-Step Guide to Opening an M-Shwari Lock Savings Account
You can open an account using either the M-Pesa menu on your phone or the MySafaricom App.
Using the M-Pesa Menu:
- Go to the M-Pesa menu on your phone.
- Select Loans and Savings.
- Choose M-Shwari.
- Select Lock Savings Account.
- Tap Open Account, then select the source of your funds—M-Pesa or M-Shwari.
- Enter your target amount and savings period (1–6 months).
- Make your first deposit to activate the account.
- You will receive a confirmation SMS.
Using the MySafaricom App:
Follow the same steps through the Loans and Savings section of the app.
Withdrawing Funds from Your M-Shwari Lock Savings Account
- At Maturity: You will receive an SMS notification with details of your savings and the interest earned. You can then withdraw the full amount without penalty.
- Before Maturity: Early withdrawal is allowed, but the funds will be sent to you within 48 hours and will earn M-Shwari’s standard interest rate instead of the higher lock savings rate.
Why Choose M-Shwari Lock Savings?
- Goal-Oriented Saving: Keeps your money secure until a set date, making it easier to achieve your target.
- Flexible Deposits: Save as often as you want within the set period.
- Competitive Interest Rates: Earn up to 6% p.a., which is higher than standard M-Shwari savings.
- Convenient Access: Open and manage your account directly from your phone.
