MKOPA Cash Loans: Eligibility, Limits, Interest & How to Apply

In this article, we will answer some of the most frequently asked questions about the Mkopa Cash Loans. Right from the application process, eligibility criteria, interest rates, repayment terms and conditions, we’ve got you covered.

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Dubbed Simu Pesa, the Mkopa loans have several terms and conditions, and for this reason we will provide valuable information about them. These include the current interest rates, fees, repayment periods, and the availability of flexible repayment options.

We will further explore the implications of missed repayments and the possibility of early repayment. Lastly, we have answers to questions related to CRB scores, the possibility of loan extensions and applications while having existing loans with other providers.


In a nutshell, below are the key eligibility criteria for Mkopa cash loans:

Mkopa Loan Qualification
  • It is for existing clients: The Mkopa cash loan is designed to meet emergency financial needs for clients with active Mkopa products (phones or solar home kits).
  • Good repayment history: To qualify, you must have demonstrated a good repayment history with your existing Mkopa phone or solar loan. Your records will be assessed from the first day you obtained a product from Mkopa.
  • 3 Months Assessment Period: You must have paid for your existing Mkopa product for at least 3 months to qualify for the cash loan.
  • Account Less than 2 Years: Finally, to qualify for an Mkopa cash loan, your account must be less than 2 years old. This is because the details and records of clients are normally cleared from the Mkopa system after 2 years. The maximum warranty period for Mkopa phones and solar products is 2 years. If you are an over 2 years Mkopa customer, you will be required to register a new account for another product, and consistently pay for it for more than 3 months to qualify for a cash loan.

Steps to Follow to Apply

In this section, we will guide you step-by-step on how to apply for an Mkopa cash loan using a USSD Code from any type of mobile phone. We will also address concerns regarding the loan approval process, shedding light on the timeline and the factors taken into account.

To apply for the MKOPA cash loan, follow these steps:

Mkopa Loan Application Process:
  • Using your registered Mkopa phone number, Dial *685#
  • From the list of options, Select Cash Loan (Option 5)
  • If you do not qualify, you are advised to try again after 14 days
  • If you qualify, you will receive a notification from M-KOPA
  • You can opt for a loan equal to your limit or less.
  • The loan approval process takes less than 10 minutes
  • The amount is disbursed to your M-Pesa account

Incase you experience any challenges, you can also send a text on the Mkopa WhatsApp number +254 799 136761. They will assist you to confirm eligibility for the loan.

Applying using the Mkopa App

You can also access the loan using the M-KOPA Mobile App, which is readily available on Google PlayStore.

Steps to Apply on Mkopa App:
  • Download and Install the M-Kopa app from Playstore
  • Launch the app and Log in using your National ID as the Account Number
  • If it’s your first time using the App, set a 5 digit PIN .
  • You will be prompted to send a verification code to your registered number.
  • Enter the code and your new PIN twice to confirm.
  • Now Log in to the app and go to Cash Loans
  • Your loan limit will be displayed on the loans section. Click APPLY to request for a loan.
  • Once approved, the funds will be sent to your Mpesa account.

Mkopa Cash Loan Limits

MKOPA extends cash loans to qualified customers with loan limits of between Ksh 5,000 and Ksh 15,000. The available limit is determined by automated Mkopa systems that consider your repayment history and the age of your existing Mkopa product among other factors.

It’s however important to note that these limits by M-KOPA may vary based on their evaluation, availability of funds among other factors. For detailed information about the loan services available, I recommend that you should visit the official MKOPA website or contacting their customer support directly.

Below are important things you need to know about the Mkopa cash loan limits:

About Mkopa Loan Limits:
  • The loan limit is system generated for all existing Mkopa customers.
  • A good repayment history earns you a higher loan limit.
  • Mkopa always sends SMS notifications to customers with their loan limits.
  • This limit declines as your Mkopa account approaches the 2 years mark.
  • The loan limit is scrapped for customers whose phones/solar kits are 2 years old.

Repayment Terms

Think of the Mkopa Cash Loan as a top up facility from a bank, Sacco or microfinance. It’s only availed to existing customers with Mkopa phones or solar home kits. The loan is then spread out to daily installments that must be paid to keep the existing device unlocked.

Example 1: Mutiso has a Samsung Galaxy A03 Core. He has been faithfully paying his daily installments for the last 8 months. His outstanding loan balance is Ksh 7,531. If he gets an Mkopa cash loan (interest inclusive) of Ksh 5,000, his new outstanding amount is Ksh 12,531. During the loan application, Mkopa gives Mutiso a few options to repay the new amount, either affordable installments for longer period or higher amounts daily for a shorter period. If Mutiso does not pay the daily installments, the phone is locked.

Example 2: Mueni has an MK600 solar home kit from Mkopa. This package includes a solar panel, LED lights, a Paygo battery, a 24 inch TV and other accessories. She has been consistent with her daily payments for the last one year. Her outstanding loan balance is Ksh 4,000. She successfully applies for an Mkopa cash loan of Ksh 5,000 to pay her son’s school fees. Mueni’s new outstanding amount is Ksh 9,000. If she decides to pay the amount in daily installments of Ksh 60, she will clear the amount in 150 days. If Mueni does not pay the daily installments, her solar home kit remains locked.

Interest Rates

Although Mkopa has not explicitly revealed their interest rates, we can easily calculate them based on sample loan amounts and the repayment amounts from a few beneficiaries.

Kinoti received Ksh 5,000 loan from Mkopa in February 2023. He had Ksh 1,000 loan balance on his Samsung Galaxy A02. He received the following SMS from Mkopa:

First, let’s calculate the interest charged by Mkopa. The difference between the repayment amount and the loan amount is the interest charged:

Interest = Repayment amount – Loan amount
Interest = 6200 – 5000
Interest = Ksh 1,200

Next, let’s calculate the monthly interest rate.

Number of months = 155 / 30
Number of months ≈ 5.17 months

Monthly interest = 1200 / 5.17 = Ksh 231.83
Monthly interest rate = (231.83 / 5,000) x 100
Monthly interest rate percentage ≈ 4.64%

Therefore, the monthly interest rate offered by Mkopa for this loan is approximately 4.64% (pm) of the loan amount.

Mkopa Cash Loan Benefits

  • Accessibility: Mkopa Cash Loans prioritize accessibility by embracing technology and eliminating the need for physical branch visits. Through a user-friendly mobile app or USSD code, you can easily apply for loans from the comfort of your home.
  • Simplified Application Process: Traditional loan applications can be daunting and time-consuming, requiring extensive paperwork and long approval processes. In contrast, Mkopa Cash Loans simplify the application process.
  • Inclusive Eligibility Criteria: By leveraging alternative data sources, Mkopa Cash Loans assess borrowers’ creditworthiness, expanding access to credit for those traditionally excluded.
  • Affordable Interest Rates: One of the key advantages of Mkopa Cash Loans is their competitive and affordable interest rates.
  • Flexible Repayment Options: Recognizing the varying financial situations of borrowers, Mkopa Cash Loans offer flexible repayment options. You are at liberty to choose the repayment period that best suits your needs, allowing you to manage your finances effectively.
  • No Hidden Fees: Furthermore, Mkopa Cash Loans provide transparency by clearly outlining all the repayment terms and options, ensuring that you are fully aware of your obligations.
  • Building Credit History: If you have limited or no credit history, accessing financial services can be challenging. Mkopa Cash Loans provide an opportunity for you to establish, improve and benefit from your credit history.

Frequently Asked Questions

Can I apply for multiple Mkopa Cash loans simultaneously?

No. You can only get one Mkopa cash loan at a time. Once you fully repay the fist loan on time, you may consider applying for a second loan. You will also be considered for a higher loan limit.


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