Safaricom explains why it cannot simply reverse wrong M-PESA transactions

Safaricom has clarified why it cannot simply reverse M-PESA transactions at the request of the sender, explaining that reversals require the recipient's consent and adherence to transaction guidelines. This clarification came after a contentious discussion on X between Safaricom and a customer, Siraji, who questioned why the recipient must be consulted before a transaction can be reversed.

Siraji argued that the sender should have the authority to reverse the transaction, especially if they have identified it as erroneous. However, Safaricom responded that an erroneous transaction cannot be automatically reversed without the recipient's consent. "Can you guys make it make sense of how you guys expect one to consult with the person who you sent money wrongly to?"

Siraji wrote. Safaricom replied, "Hi Siraji. Sorry it does not work like that." The exchange continued as Siraji questioned why the recipient should have a say in money that originated from another customer's M-PESA account. Safaricom maintained that the M-PESA system processes transactions based on the sender's details and that reversals depend on the recipient's consent and applicable guidelines.

The clarification highlights that requesting a reversal is different from automatically recovering funds after a transaction has been completed. Safaricom's M-PESA reversal terms allow customers to request a reversal for transactions such as sending money to the wrong recipient, but the company processes reversals to determine if the transaction was genuinely made in error before returning the money.

After a customer initiates a reversal request, Safaricom's customer-care representatives confirm with both the sender and recipient that the transaction was an error. If the recipient disputes the reversal, the sender may need to pursue recovery directly from the recipient. The company's M-PESA product terms also specify that where a payment is clearly made in error, the recipient must initiate and complete a reversal within a reasonable period, typically within 72 hours.

If the recipient fails to do so, Safaricom may initiate a reversal after considering the circumstances of the erroneous payment. The process can vary depending on the type of M-PESA transaction. Safaricom encourages customers to use its reversal tools when they realize they have made an error and provides various channels for initiating a reversal request, such as the M-PESA and mySafaricom apps.