Even with our Mobile Money projections coming true after the OTT tax invasion, it seems we missed this one but it is finally coming to life thanks to MTN Uganda that is set to unveil new Mobile Money to Bank rates, albeit increased charges.
With many Mobile Money to bank transactions being adopted by those willing to escape the long bank queues for the short Mobile Money convenience, the new MTN Mobile money rates have more than 50% increase from the previous rates introduced as we approached the festive season. It is like MTN Uganda has reversed the rates to where they were before.
Below are the new Mobile money to bank transactions rates as of 1st February 2018.
| RANGE | Old Rates | New Rates |
|---|---|---|
| 5,000-125,000 | 1,000 | 1,500 |
| 125,001-250,000 | 1,500 | 2,250 |
| 250,001-500,000 | 2,000 | 6,000 |
| 500,001-1,000,000 | 3,000 | 9,000 |
| 1,000,001-2,000,000 | 4,500 | 13,500 |
| 2,000,001-5,000,000 | 5,500 | 16,500 |
As said above, the new charges shall be effective on 1st February 2019 but one important note, is that the Mobile Money tax doesn’t apply to these Mobile Money to Bank Deposits as were the case during the 1% to 0.5% tax dilemma, where you would be charged UGX 10,000 on a UGX 1,000,000 transaction given that the tax is only applicable on Mobile Money withdraws.
