Staying alert: Safaricom shares USSD code to stop wrong M-Pesa reversals

This story has significance for readers across Kenya and beyond.

- A small business owner named Moses raised concerns on social media after a client reversed an M-Pesa payment for services he rendered at night

- Safaricom confirmed it attempts to contact fund recipients before processing any reversal, but may proceed if the recipient cannot be reached

- The company urged business owners using personal M-Pesa accounts to register for Lipa na M-Pesa Till or Pochi la Biashara to reduce reversal risks

Safaricom has publicly addressed its M-Pesa reversal procedure after a customer shared a complaint on social media about a transaction reversed without his knowledge.

The customer, identified as Moses, described how a client reversed a payment for services he had provided at night.

By the time Safaricom's team attempted to reach him to verify the reversal request, he was unavailable to respond. Moses expressed frustration, arguing that the process unfairly favoured those seeking to defraud service providers.

"I carried someone at night and unfortunately he reversed the money, and when you called, I was not aware. Why do you allow this, yet somebody can't contact you? This is wrong...," Moses wrote.

How Safaricom Handles Reversal Requests

In its official response, Safaricom confirmed that its standard procedure requires the company to attempt contact with the recipient of funds before any reversal is processed.

A reversal is only completed either once the recipient gives approval or, in cases where they cannot be reached, after the company has made documented attempts to contact them.

"We contact you for reversals. We only complete reversals once approval is given or if you are not available," Safaricom stated in its reply to Moses.

The telecoms giant also used the opportunity to encourage business owners relying on personal M-Pesa transfers for commercial transactions to consider dedicated merchant platforms.

Safaricom specifically recommended Lipa na M-Pesa Till and Pochi la Biashara, both of which operate under a separate settlement framework that offers greater protection against unauthorised reversals.

Safaricom's Advice to Merchants

"If you have a business, kindly register for a Lipa na M-Pesa Till number here: https://m-pesaforbusiness.co.ke/ or Pochi la Biashara on *334# to avoid frequent reversals from your customers," Safaricom added.

For business owners who continue using person-to-person transfers for commercial purposes, Safaricom recommended that they monitor their transaction histories closely and respond promptly whenever the company's customer care team calls to verify a reversal request.

Merchants wishing to contest a completed reversal can file a formal complaint through Safaricom's official support channels for further review.

Safaricom's M-Pesa service remains central to Kenya's digital payments landscape, processing millions of transactions daily across both personal and business users.

Source: TUKO.co.ke

Reporting originally appeared via TUKO. Read the full source for additional context.