MTN Uganda last week cut MoMo withdraw charges by 5.8%. On top of that, the company is also offering customers loyalty points through MTN Senkyu for any MoMo transactions which the customers can redeem for data, voice call minutes, to pay for goods and services using MoMo pay or for SMS.
Stephen Mutana, the General Manager Mobile Financial Services at MTN, explains more.
Tell us about the New Mobile Money withdrawal fees reduction.
We as MTN made a decision to reduce our Mobile Money withdrawal charges. This means that moving forward, our customers shall now withdraw money from their mobile accounts at a reduced fee compared to the previous rates.
The new reduced charges took effect on Saturday 1st May 2021.
What are the new rates?
The new rates are ideally 5.8 % less than the previous rates. And that is not all, you also get Senkyu points every time you withdraw MTN mobile money. And this is not the first time we are reducing our MTN mobile money withdraw prices.
Last year in November, we reduced the withdrawal rates by 7.2%.
At a time when many businesses are increasing prices, what prompted MTN to reduce their Mobile Money Withdrawal rates?
The decision to reduce our Mobile Money withdrawal prices was based on our market and customer feedback.
We know that many people, especially those without bank accounts rely on our MoMo services to do their business or even manage their day to day needs and as such, this reduction of our Mobile Money withdrawal fees will encourage more use of the MTN MoMo services across different groups of people in Uganda.
The notion ties in well with the financial inclusion agenda of Mobile money, which is to promote a cashless economy and to digitize the financial sector in Uganda.
You mentioned Senkyu points for withdrawing MoMo. Please explain how this works.
We have not stopped at reducing our Mobile Money Withdrawal rates alone. We are also giving our customers who are signed up to MTN Senkyu, points every time they withdraw money from MTN MoMo.
So you gain twice: First, the reduced withdrawal rate and secondly, the MTN Senkyu points that you can use to get airtime, MBs, SMS or even pay for goods using MTN MoMoPay.
If you withdraw MTN Mobile Money, you automatically get MTN Senkyu points.
That’s not all, you also Senkyu points when you deposit money, send money or make a payment through on MTN MoMo where you are charged.
Every time you use MTN Services, you will get points that you can use for to get or redeem free MBs, voice minutes, SMS bundles as well as paying for goods and services at any shop with a MoMoPay merchant code.
How does one join the Senkyu program?
Yea, for customers who have not joined MTN Senkyu, they can dial *141# or use MyMTN app to join.
So, the more MTN services a customer uses and the longer you stay on the MTN network, the more points you will receive. So, we encourage our customers to use more in order to get more.
You earlier mentioned MoMoPay. What is MoMo pay?
MoMopay is a cashless payment solution designed for our customers to pay for goods and services free of charge using MTN mobile money.