Walk into a supermarket, pharmacy or restaurant in Kampala and you will often see a small sign at the counter showing an MTN MoMoPay or Airtel Money Pay merchant code. Customers dial a short code, enter the merchant number and the amount, approve with their PIN, and the payment is done. If you run a business, Mobile Money merchant codes are one of the simplest ways to accept cashless payments in Uganda. This guide explains what merchant codes are, how they differ from sending money to a personal number, how to get one, and how to use it safely.
What is a Mobile Money merchant code?
A merchant code is a unique number assigned to a registered business by a Mobile Money provider. Instead of a customer sending money to your personal phone number, they pay to your merchant code. The money lands in a dedicated merchant wallet or account linked to your business.
The two main services in Uganda are:
- MTN MoMoPay, for customers with MTN Mobile Money.
- Airtel Money Pay (sometimes shown as Airtel Money merchant payments), for customers with Airtel Money.
Many businesses display both so that every customer can pay, whichever network they use.
Merchant code vs personal number: why it matters
Lots of small businesses start by asking customers to send money to the owner's personal number. It works, but it has drawbacks.
- Customer charges: when paying a merchant, customers are often not charged the usual sending fee, which makes them happier to pay digitally. The merchant usually pays a small commission instead. Check each provider's current tariff.
- Separation of money: business income stays separate from personal transfers, school fees and family support, which makes bookkeeping far easier.
- Professional image: a printed merchant sign looks more established and trustworthy than a handwritten phone number.
- Privacy: customers see your business name, not your personal number.
- Records: merchant statements help with accounting, URA tax returns and loan applications.
- Staff control: cashiers can receive payments without having access to the owner's personal wallet.
How a customer pays with a merchant code
The exact menus change from time to time, but the steps are similar for both networks.
Paying with MTN MoMoPay
- Dial *165# on an MTN line, or open the MoMo app.
- Choose the payments option, then MoMoPay or Pay merchant.
- Enter the merchant code shown at the counter.
- Enter the amount.
- Confirm the business name that appears, then enter the PIN.
- Both customer and merchant receive a confirmation SMS.
Paying with Airtel Money Pay
- Dial *185# on an Airtel line, or open the Airtel Money app.
- Choose the payments or merchant payments option.
- Enter the merchant code.
- Enter the amount and any reference requested.
- Check the merchant name and confirm with the PIN.
Many apps also let customers scan a QR code instead of typing the merchant number, which reduces mistakes.
How to get a merchant code for your business
Requirements vary slightly by provider and business type, but generally you will need:
- A registered business name or company certificate from URSB. Some providers also accept small informal traders through simpler merchant categories, so ask what applies to you.
- A TIN from URA.
- National ID of the owner or directors.
- A trading licence or local authority letter where applicable.
- Business location details.
- A phone number registered in your name for the merchant account.
Steps to apply
- Visit an MTN or Airtel service centre, or contact their business or merchant team. Some providers also allow online or agent based registration.
- Fill in the merchant application form and submit copies of your documents.
- Wait for verification. This can take from a few days to a couple of weeks.
- Receive your merchant code, PIN setup details and, often, a printed sign or QR sticker.
- Test with a small payment from a friend's phone before using it with customers.
Getting money out of the merchant account
Funds received into a merchant account can usually be moved to a linked Mobile Money wallet, withdrawn at agents, or transferred to a bank account. Each option may carry its own charges. Plan how often you will move money out, especially if you handle large amounts, and keep a float for refunds or change if needed.
Using merchant codes online
Merchant codes are not only for physical shops. You can share them on your website, social media pages and invoices. For example, an online clothing seller in Ntinda could write on the checkout page: "Pay with MTN MoMoPay to our merchant code, then send your order number on WhatsApp." This works for small volumes. As sales grow, a payment gateway that connects Mobile Money directly to your website will confirm payments automatically and save time.
Safety tips for merchants
- Always check the SMS or app notification before releasing goods. Fraudsters sometimes show fake confirmation messages or edited screenshots.
- Verify the sender: a genuine confirmation comes from the official provider, not a normal phone number.
- Never share your PIN, even with staff or someone claiming to be from MTN or Airtel.
- Beware "wrong payment" calls. If someone claims they paid you by mistake and asks for a refund, check your actual balance and statement first, and contact the provider rather than sending money directly.
- Reconcile daily: compare merchant statements with your sales book or point of sale records.
- Display your official sign clearly so customers do not use a code someone else has stuck over yours.
Safety tips for customers
- Check that the business name shown before you enter your PIN matches the shop.
- Keep the confirmation SMS as your receipt.
- If a payment fails but money leaves your wallet, contact the provider's customer care with the transaction ID.
Frequently asked questions
Can I have both MTN and Airtel merchant codes?
Yes. Most busy businesses register with both so every customer can pay. You manage each account separately.
Who pays the transaction charge?
Typically, the merchant pays a small commission on payments received, while the customer pays little or nothing. Tariffs change, so confirm current rates with each provider.
Can I use one merchant code for several branches?
Some providers allow multiple tills or sub codes under one business, which helps you track sales per branch. Ask your provider about options.
Is a merchant code the same as an agent number?
No. Agents provide cash in and cash out services for the network. A merchant code is for receiving payments for goods and services.
Conclusion
Mobile Money merchant codes make it easy for customers to pay you, keep business money separate from personal funds, and give you cleaner records. Register with both MTN and Airtel, display your codes clearly, and always confirm payments properly before handing over goods. When you are ready to take Mobile Money payments on your own website, Baasa Cloud can help you build a site that supports it.