MTN MoMo Salary Advance Loan Service Terms and Conditions

IMPORTANT NOTICE — PLEASE READ CAREFULLY

These Terms and Conditions govern your use of the Salary Advance Loan service available on the MTN Mobile Money (MoMo) menu. By proceeding with any loan application, you confirm that you have read, understood, and agreed to be bound by these terms. MTN Zambia Limited is a distribution and payment platform only — it is not a lender. All loan products are provided by licensed third-party Lending Partners.

1. Definitions

The following words have the meanings set out below wherever they appear in these Terms and Conditions:

• “MTN” / “We” / “Us”: MTN Zambia Limited, a licensed mobile network operator and mobile money provider in the Republic of Zambia.
• “You” / “Customer”: The registered MTN Mobile Money user who accesses the Salary Advance Loan service via the MTN MoMo menu or App.
• “Lending Partner”: A licensed third-party financial institution or microfinance lender that offers salary advance loans through the MTN MoMo menu.
• “Salary Advance Loan” / “Loan”: A short-term loan product provided by a Lending Partner and disbursed into your MTN MoMo Wallet.
• “MTN MoMo Wallet” / “Wallet”: Your registered MTN Mobile Money account used to receive loan disbursements and make repayments.
• “Repayment”: A customer-initiated transfer of funds from your Wallet to the Lending Partner to settle outstanding loan obligations.
• “KYC”: Know Your Customer — the identity verification process conducted in accordance with Zambian law.
• “BoZ”: Bank of Zambia, the principal regulatory authority for financial services in Zambia.
• “Applicable Law”: All legislation, regulations, guidelines, and directives in force in Zambia, including the Banking and Financial Services Act, Mobile Money Regulations, and BoZ directives.

2. MTN’s Role — What We Do and Do Not Do

2.1  MTN is a Platform, Not a Lender

MTN provides this service strictly as a distribution, wallet, and technology platform. MTN does not:

• Originate, underwrite, or approve any loan;
• Conduct credit assessments or credit scoring;
• Fund any loan disbursement;
• Guarantee that you will be approved for a loan;
• Bear any credit risk, default risk, or collection risk.

2.2  Lending Partner Responsibility

All loans are offered, funded, and managed exclusively by Lending Partners. The Lending Partner is solely responsible for:

• Deciding whether to approve your loan application;
• Setting loan terms, interest rates, fees, and repayment schedules;
• Complying with BoZ and all applicable lending regulations;
• Loan recovery, collections, and all loan-related customer support.

2.3  Your Agreement with the Lending Partner

When you accept a loan offer, you enter into a binding loan agreement directly with the Lending Partner. MTN is not a party to that agreement. Please read the Lending Partner’s loan agreement and disclosure statement carefully before accepting.

3. Eligibility

To use the Salary Advance Loan service you must:

1. Be a registered and active MTN Mobile Money customer in Zambia;
2. Have a valid, verified MTN MoMo Wallet in good standing;
3. Be at least 18 years of age;
4. Meet the KYC requirements set by MTN and/or the Lending Partner;
5. Be formally or semi-formally employed, or otherwise meet the Lending Partner’s eligibility criteria;
6. Have no account restrictions, suspensions, or regulatory holds;
7. Satisfy any additional criteria set by the Lending Partner.

MTN may restrict access to this service at any time where required by law, regulation, or internal policy.

4. How the Service Works

4.1  Applying for a Loan

Access the service through the MTN MoMo USSD menu (*303#) or the MTN MoMo App. The steps are:

1. Select “Salary Advance” from the MoMo menu;
2. Choose a Lending Partner from the available options;
3. Review the Lending Partner’s loan terms, fees, and repayment schedule in full;
4. Accept the Lending Partner’s terms and conditions;
5. The Lending Partner will assess your application (this happens outside MTN’s systems);
6. If approved, the loan amount is disbursed directly into your MTN MoMo Wallet.

4.2  Loan Disbursement

On approval by the Lending Partner, the loan amount will be credited to your Wallet. Disbursement is subject to your Wallet being active, unrestricted, and capable of receiving funds. MTN does not guarantee the timing of disbursement, which depends on the Lending Partner’s systems.

4.3  Repayment

Repayments are strictly customer-initiated. You must initiate repayment through the MoMo menu on or before the due date set by the Lending Partner. Note:

• MTN does not enable automatic deductions, auto-debit, or standing instructions from your Wallet;
• You are responsible for ensuring sufficient funds are in your Wallet when repaying;
• Late or missed repayments may attract penalties, additional interest, or adverse credit reporting — these are determined entirely by the Lending Partner;
• MTN is not responsible for consequences arising from late or failed repayments.

5. Fees and Charges

5.1  Lending Partner Fees

All loan interest rates, processing fees, and penalties are set exclusively by the Lending Partner and will be disclosed to you before you accept any offer. Before accepting, check:

• Total cost of the loan (principal + interest + all fees);
• Annual Percentage Rate (APR) or equivalent;
• Repayment amount(s) and due date(s);
• Any penalties for late payment or early settlement.

5.2  MTN Transaction Fees

Standard MTN Mobile Money transaction fees may apply to wallet transactions associated with loan disbursements and repayments. Where applicable, these fees will be disclosed before you confirm the transaction.

5.3  No Additional MTN Charges

MTN does not charge any fee for accessing the Salary Advance Loan menu or for directing you to a Lending Partner. Any MTN charge is limited to standard MoMo transaction fees as disclosed.

6. Your Personal Data

6.1  How MTN Uses Your Information

By using this service, you consent to MTN:

• Sharing your registered MoMo account details with the Lending Partner for disbursement purposes;
• Verifying your identity (KYC) upon an authorised request from a Lending Partner;
• Processing transactions related to loan disbursements and repayments.

6.2  Data Protection Commitments

MTN handles your data in line with the Data Protection Act of Zambia and MTN’s Privacy Policy:

• MTN will not sell or disclose your personal data beyond what is strictly necessary to provide this service;
• No credit scoring data, detailed transaction history, or financial profile is shared with Lending Partners via MTN’s Open APIs;
• KYC verification is provided only through controlled, secure channels;
• All data processing by MTN occurs within MTN-controlled environments.

The Lending Partner’s collection and use of your data is governed by the Lending Partner’s own privacy policy, which you should review before proceeding.

7. Your Rights and Responsibilities

7.1  Your Rights

• Receive clear, complete disclosure of all loan terms before accepting any offer;
• Withdraw your application at any stage before final acceptance;
• Contact the Lending Partner directly for all loan-related queries and complaints;
• Escalate unresolved complaints to the BoZ Consumer Protection Unit;
• Receive confirmation of each successful repayment.

7.2  Your Responsibilities

• Keep your MTN MoMo account details and contact information current and accurate;
• Keep your MoMo PIN and login credentials confidential — never share them;
• Read and understand all loan terms before accepting;
• Ensure sufficient funds are in your Wallet when initiating repayments;
• Use this service only for lawful purposes;
• Notify MTN immediately if you suspect unauthorised access to your account.

8. Complaints and Disputes

8.1  Loan-Related Complaints

All complaints about loan amounts, interest, repayment terms, or Lending Partner conduct must be directed to the relevant Lending Partner. MTN cannot intervene in or arbitrate loan disputes.

8.2  MTN Channel or Wallet Issues

For technical issues with the MoMo menu, wallet transactions, or disbursement/repayment processing, contact MTN:

• Call 100 (from your MTN line) or dial *100#;
• Visit any MTN Service Centre;
• Use the Help Centre in the MTN MoMo App.

8.3  Regulatory Escalation

If your complaint remains unresolved, you may escalate to the Bank of Zambia Consumer Protection Unit or another applicable regulatory body in Zambia.

9. Limitation of MTN’s Liability

To the fullest extent permitted by Applicable Law, MTN is not liable for:

• Any credit decision made by a Lending Partner;
• Interest, penalties, or charges imposed by a Lending Partner;
• Your failure to repay a loan on time;
• Technical delays or failures outside MTN’s reasonable control;
• Any action or omission by a Lending Partner, including debt recovery;
• Any indirect, consequential, or special loss arising from this service.

Where a proven fault in MTN’s platform causes direct loss, MTN’s liability is limited to the value of the affected transaction(s).

10. Suspension of Access

MTN may suspend or remove your access to the Salary Advance Loan service, with or without notice, where:

• You breach these Terms and Conditions;
• Fraud, money laundering, or other unlawful activity is suspected;
• Your MTN MoMo account is suspended or restricted;
• Required by Applicable Law or regulatory directive;
• A Lending Partner withdraws from the MTN platform;
• Maintenance, upgrades, or security incidents affect the platform.

Suspension of menu access does not cancel any outstanding obligations you have to a Lending Partner under an existing loan agreement.

11. Changes to These Terms

MTN may update these Terms and Conditions at any time. Where changes are material, MTN will notify you by in-app or USSD notification, SMS to your registered number, or publication on the MTN Zambia website. Continued use of the service after notification constitutes your acceptance of the updated terms.

12. Governing Law

These Terms and Conditions are governed by the laws of the Republic of Zambia. Any dispute arising from them shall be subject to the exclusive jurisdiction of the courts of Zambia.

13. Contact Us

ACCEPTANCE OF TERMS

By accessing or using the Salary Advance Loan service on the MTN MoMo menu or App, you confirm that you are 18 years of age or older, that you have read and fully understood these Terms and Conditions, and that you agree to be legally bound by them.