Home NEWS M-Pesa Bulk Payment Service (B2C) Application and Charges

M-Pesa Bulk Payment Service (B2C) Application and Charges

M-Pesa bulk payment

M-Pesa bulk payment, additionally prevalent as B2C, is one of Safaricom m-banking services known to streamline tasks. With B2C, associations can give disbursements or payments from their shortcode to customers’ telephones continuously.

Any organizations or companies, regardless of whether government-possessed or private, can encourage quicker payments to people through the M-Pesa Bulk Payment service.

Organizations can apply for bulk payment service in two ways:

  1. With the assistance of any individual offering sales services with Safaricom’s permission
  2. Direct application through a self-onboarding link.

Areas where M-Pesa bulk payment service is used

The service can be used in different sectors to facilitate fast payments. Here are some bulk payment Mpesa transactions:

  • SACCOs, Microfinance institutions, and banks for cash withdrawal and loan payout directly to receivers’ Mpesa.
  • Settling insurance claims
  • Sending casuals’ payments and disbursement of salaries for companies
  • For promotional payments such as cash prizes
  • Business payments like daily wages, small purchases, or petty cash
  • Payment of annual dividends for companies that are publicly listed
  • Disbursement of different workshop and payment funds, per diems, field staff wages, and development or relief funds

Channels used for M-pesa reconciliation and payments

B2C completes transactions through these channels:

  1. Mpesa G2 system – For this, you must install the Mpesa certificate on a Windows computer. If you have challenges acquiring the Safaricom B2C application form or completing the installation, just send a blank email to M-PESAcertpassword@safaricom.co.ke and you will be guided aptly.
  2. M-Pesa portal for payments – This one does not require the certificate installation since it is web-based.
  3. Application Programming Interface (APIs) – This system enables the flow of information between systems. It offers an interface for a particular system to socket into the other easily. By using this tool, it is not a must for businesses to run their Mpesa systems directly. Instead, they will rely on their on-premise programs for fund disbursement via Mpesa.

Requirements for Bulk Payment service

The qualifications to use the B2C payment service vary with the nature of the company. Sole proprietors, limited liability companies, partnerships, non-denominational churches, private schools, SACCOS, and NGOs all have several distinct requirements.

However, here is a recap of the common must-haves for bulk payment:

  • Identification documents of proprietors, directors, and individuals opening the account
  • Bank letter or canceled cheque to ratify bank details
  • Certificate of Registration copy for NGOs
  • A copy of the application form and terms and conditions duly filled and signed
  • A copy of company registration, certificate of incorporation,
  • Company’s or proprietor’s KRA PIN for the proprietors, directors, or company
  • Utility bill copy
  • A company’s sealed resolution by the board on letterhead alongside signatures of at least two directors
  • Copy of CR12 with a 90-day validity period
  • CBK remittance license for international money transfers
  • Audited statements of financial position
  • Ministry of Education license if it is a private school
  • Partnership deed copy
  • SAFARICOM AML/KYC completion by Saccos

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M-Pesa B2C charges

Here are the charges as they appear on the company shortcode:

  • A transaction band of between Ksh. 50 to Ksh. 1,000 costs Ksh. 15
  • Transactions between Ksh. 1,001 and Ksh. 70,000 will cost Ksh. 22

Note that the customer that will be receiving their cash will not pay for the service. Also, you can facilitate payments even to numbers outside the Safaricom network, and you will not pay anything beyond the defined tariff.

Also, remember that you cannot make payments to another shortcode, but only make payments to your customers or workers via mobile phones.

Such transactions use the Business to Business (B2B) service instead and these have different M-Pesa B2B charges.

How to deposit funds for payments

A company, organization or institution can do an RTGS transfer to their M-Pesa corporate account at either KCB and CBA banks. To do this, you have to quote your B2C shortcode starting with the number 333.

The last number should be the beneficiary’s account number. You can also make EFT, cheque, and cash deposits to your Mpesa holding account.

If you are using CBA Bank, then the account number to use is 0420448007, while KCB Bank clients can use 1147921954. As you make the deposit, ensure the B2C shortcode is quoted.

If you find M-Pesa Bulk Payment service to be ideal for your operations, then apply today.