How M-PESA Reduced Its Daily Cash Reversal Requests from 12,000 to 4,000

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Safaricom has significantly reduced the number of daily M-PESA reversal requests from 12,000 to 4,000, a remarkable 67% drop, by refining its Hakikisha feature. The improved Safaricom Hakikisha system has enhanced transaction accuracy, reducing the burden of erroneous transfers and streamlining customer experience.

Hakikisha, first introduced in 2015, was designed to minimize mistakes by prompting users to verify recipient details before completing a transaction. Initially, the feature allowed users a 15-second window to cancel a transfer by dialing a specific code.

However, this method was often confusing, ineffective, and required immediate action, leading many users to miss the opportunity to correct errors. As a result, Safaricom recorded a high number of M-PESA reversal requests, straining customer support and operational resources.

Recognizing these inefficiencies, Safaricom revamped the Hakikisha feature by introducing a more intuitive Yes/No confirmation pop-up. Instead of requiring users to opt out of a transaction after initiating it, the new system proactively asks for confirmation before finalizing the payment.

The pop-up clearly displays the recipient’s registered name alongside the transaction amount, prompting the user to confirm or cancel the payment.

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This shift from an opt-out to an opt-in system has drastically reduced erroneous transfers. With fewer mistaken transactions, Safaricom has seen a significant drop in daily M-PESA reversal requests, from 12,000 to just 4,000. This improvement not only enhances user experience but also reduces the costs and time associated with reversing incorrect payments.

Previously, customers who sent money to the wrong recipients had to file reversal requests, often incurring a KSh 28 fee per transaction.

The success of the Safaricom Hakikisha update has set a new standard in mobile money transactions, prompting other financial service providers, including Airtel Money and local banks, to adopt similar pre-transaction verification systems.