NCBA Loop allows money transfer to other banks through RTGS, EFT and PesaLink. Of these three, PesaLink is not only the fastest, but also the one with the lowest amount in fees.
According to the latest Loop tariff, all PesaLink transfers attract a fee of KES48 compared to KES66 for both RTGS and EFT.
Even sending money to the non-loop NCBA accounts is much cheaper via PesaLink since that also attracts a fee of KES66. Fortunately, transfer to other Loop accounts is free.
The only other alternative from these methods is to first transfer the money for free to M-PESA then use the respective’s bank’s Paybill number to deposit the cash.
This has the convenience of being just as fast as PesaLink however depending on the bank, the Paybill charges from M-PESA may ultimately make this by far the most expensive option.
Sending money with PesaLink on the Loop app is as easy as selecting it from the list of options. All you need is the Bank name and the account number.
Linking your Loop registered phone number to PesaLink is not necessary for the transfers to work.
The consequence of this however is that you’ll not receive transaction statements from PesaLink. This is because PesaLink sends statements to the linked phone number through SMS.
Statements are often necessary to confirm or reconcile deposits to the recipient. In the case of PesaLink, what we need is a transfer reference number (RRN).
While the normal account statement from Loop includes these transactions, it doesn’t include this crucial reference number. The only way to get this information is to contact customer care, who will send you a debit advice with the full statement data.
Requesting a statement from customer for every transaction is however not practical. The real solution is that you need to link your Loop account to PesaLink through your preferred phone number.
Link Loop to PesaLink
To do that is quite simple. Just go to your Loop app settings, then select the option Register PesaLink.
Complete the registration process and at the end of it you should get an SMS from PesaLink confirming that tour phone number has been successfully linked to your Loop account.
Now anytime you send money through PesaLink an SMS statement will be sent to the linked phone number. The SMS will contain the Reference Number so you can forward it to the recipient to confirm the transcation.
Additionally, the SMS contains a link to download the statement in PDF, which then you can use for reconciling.
Ultimately, NCBA should consider making this process more clear when using PesaLink for the first time to avoid this confusion.