Co-operative Bank of Kenya has announced a reversal of the Sh42 charge it had placed on money transfers from M-Pesa to accounts amid outcry from its customers.
The bank noted that it is also reversing all the money related to the charge that had been debited.
“The Sh42 charge we had placed on money transfers to M-Pesa from some of our accounts, using paybill 400200 has been reversed,” read the notice.
“We are also reversing all the money related to this charge that we had debited to the few affected accounts. We appreciate that you raised your concerns with us,” the notice reads.
Bank to Mobile transfers and vice versa have gained traction among Kenyans who opt to send money through M-Pesa Pay Bill number and/or withdraw money directly from their bank accounts.
During the start of the pandemic, the Central Bank of Kenya directed financial institutions to adopt some changes that were meant to shield the ordinary Kenyan from financial pains.
For instance, mobile money companies did not charge any fees for sending under Sh 1,000.
Banks were also directed to drop mobile money to bank deposits.
As the pandemic progressed, some key changes were also made.
The zero-fees for transferring Sh1,000 among mobile phone wallets was dropped.
M-Pesa would also go ahead to adjust its rates, which started in January 2021.
However, mobile money to bank transfer fees were not reintroduced and have therefore, remained so to date.
