KCB M‑Pesa offers two convenient savings options for mobile users: the Target Savings Account and the Fixed Savings Account. These allow you to save from as little as KSh 50 via your mobile phone and earn attractive returns currently between 6.3% and 8.5% per annum, depending on updates to rates.
Before using either account, you must activate KCB M‑Pesa on your phone via *522# in the M‑Pesa menu.
1. Fixed Savings Account
This account lets you lock a lump sum for a defined period (1–12 months) in exchange for guaranteed interest.
Key Benefits
- Minimum deposit: KSh 500.
- Interest rate: Up to 8.5% p.a. on the locked amount.
- Early withdrawal: If you withdraw before the end of the term, you forfeit all accrued interest.
How to Open the Account
Via *522# on your Safaricom line:
- Navigate: Loans & Savings → KCB M‑Pesa → Fixed Savings Account → Fixed Deposit → Open Account
- Select funding source: M‑Pesa wallet or KCB M‑Pesa
- Enter deposit amount (minimum KSh 500) and term (1–12 months)
- Confirm with M‑Pesa PIN
- Receive confirmation by SMS
2. Target Savings Account
Designed around a savings goal form a plan and save toward that target gradually.
Key Features
- Minimum deposit: KSh 50.
- Target requirement: At least KSh 1,000.
- Interest rate: Up to 8.5% p.a., compounded on daily savings.
- Early exit: You can withdraw before maturity and receive interest earned up to that date (except on opening or top‑up days).
How to Set It Up
Using *522#:
- Go to Loans & Savings → KCB M‑Pesa → Fixed Savings Account → Target Savings Account → Open Account
- Choose source of funds
- Enter your savings goal (≥KSh 1,000), duration (1–12 months), and initial deposit (≥KSh 50)
- Confirm with M‑Pesa PIN
- Save until target is met; top‑ups allowed anytime (not on opening/top‑up days)
Important Notes
- No account opening fee for either savings option.
- Maximum single deposit or withdrawal limit: KSh 150,000.
- CRB listing does not affect savings eligibility—you can save even if listed.
- Maturity notice: You will receive an SMS upon savings maturity detailing total amount and interest earned.
Comparing the Two Accounts
| Feature | Fixed Savings | Target Savings |
|---|---|---|
| Minimum deposit | KSh 500 | KSh 50 (target ≥ KSh 1,000) |
| Tenure range | 1–12 months | 1–12 months |
| Interest availability | Only at maturity | Up to withdrawal date |
| Early withdrawal | No interest (entire amount) | Prorated interest allowed |
Why Use KCB M‑Pesa Savings?
- Earn competitive interest (up to 8.5% p.a.) on mobile savings.
- Low starting amounts—ideal for informal earners or goal-based saving.
- Convenience and security—access saved funds via mobile, with a PIN protected interface.
- Loan access—your savings history may help grow your future loan limits.
Ready to Save?
- Activate KCB M‑Pesa using *522# (Loans & Savings → KCB M‑Pesa → Activate).
- Choose between fixed or target savings.
- Follow the setup steps outlined above.
- Manage and track via your M‑Pesa menu.
Conclusion
KCB M‑Pesa’s Target and Fixed Savings Accounts offer flexible, mobile-first savings solutions tailored for different financial goals. Whether you’re setting aside small amounts toward a goal or locking funds for higher interest, both options help you grow your savings with ease and security.
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