Kenyans who happen to use M-Pesa felt hard done by as they woke up to find that their Paypal linked accounts had been ‘limited’ without being forwarned. Being limited means that they are not able to make any PayPal payments, which include sending and receiving money. So it essentially means that they are blocked.
In April, Safaricom (M-Pesa ‘s owner)set out to partner with PayPal to boost its e-commerce in Kenya`. This effectively opened up global marketplaces to Kenyan entrepreneurs and businesses, effectively allowing M-Pesa’s 22.7 million subscribers to transact online, on mobile, in an app, or in person with PayPal’s 227 million users.
According to PayPal, blocked users will only be able to withdraw money from their accounts after 180 days. Mpesa customers received the following emails from Paypal;
We recently noticed a pattern of activity in your account that is maybe high risk.Because of this issue, your account has been permanently limited……..Paypal reserves the right to limit access to any account reported to be involved in possible fraudulent or high risk behaviour.
This doesn’t seem to be the first time, Paypal has blocked Mpesa subscribers with many Kenyans citing that 2 months ago they experience the same frustrating action.
Safar even acknowledged the existence of this problem but seemed like it is beyond its sphere of influence to solve it.
If it is happening the second time, that Paypal arbitrarily blocks Mpesa users, isn’t it now necessary for them (Safaricom) to assess their ‘quality’ of their partnership?