Payout Processing Flow

This section describes how TemboPlus processes payout requests, how long payouts typically take to reach beneficiaries, how Proof of Payment (POP) is handled, the meaning of common transaction states, how to fund your disbursement wallet, and best practices for reliable payout integrations.

Arrival Time (Settlement Time to Beneficiary)

Payout arrival time refers to the duration between initiating a payout and the funds reaching the beneficiary’s mobile wallet or bank account. Settlement times vary by channel.

Mobile Money Payouts

Mobile payouts are generally processed within seconds.

  • Typical behaviour: Instant or near-instant settlement

  • Occasional delays may occur due to:

    • MNO processing congestion

    • Temporary service downtime

  • Mobile networks in Tanzania do not provide formal clearing windows, so settlement is usually continuous.

Bank Transfers

Settlement times for bank transfers in Tanzania depend on the national payment rail used, the transaction amount, and the posting rules of the sending or receiving bank.

The main payment rails are operated by the Bank of Tanzania (BoT) and are designed to solve specific market problems:

  • TIPS (Tanzania Instant Payment System): For low-value, instant payments. It is interoperable between banks and Mobile Network Operators (MNOs).

  • TISS (Tanzania Instant Settlement System): For high-value, time-sensitive payments.

Key points about settlement:

  • Payments through TIPS and TISS are settled individually, immediately, and in full, subject to the receiving bank crediting the beneficiary within 2 hours.

  • Whether a payment goes through TIPS or TISS depends on the transaction amount and the sending bank’s internal posting rules:

    • Transactions above ~50M TZS are typically processed through TISS.

    • Some banks may choose to process payments as low as 20M TZS through TISS.

    • Payments below ~20M TZS usually go through TIPS.

  • TIPS operates 24/7/365.

  • TISS does not settle on Sundays or public holidays. Payments done on these days will be settled on the next working day.

Partners who need more technical context can request the Bank Payment Processing Reference document from TemboPlus.

Proof of Payment (POP)

POP availability differs between mobile payouts and bank payouts.

Mobile Money POP

Mobile Network Operators (MNOs) in Tanzania do not issue official POP documents for payouts. Confirmation is typically done through:

  • The MNO’s acceptance response

  • SMS credit notifications received by the beneficiary

  • Balance updates reported by the beneficiary

If a beneficiary reports non-receipt, TemboPlus will contact the MNO to verify whether funds were actually delivered, and will act based on the final confirmation from the operator.

Bank Transfer POP

In Tanzania, bank transfers routed through different payment switches have distinct mechanics regarding Proof of Payment (POP).

TISS Transfers:

  • The POP is always available from the partner bank.

  • It can be acquired by TemboPlus and sent to the partner upon request.

TIPS Transfers:

TemboPlus offers two operational modes that partners select during onboarding. These modes govern POP availability:

  1. POP for Every Transaction (Default Mode)

    • POP can be obtained for all transactions

    • Recommended for partners where documentation is critical

  2. Speed-Optimized Mode (POP on Exceptions Only)

    • Designed for partners prioritizing fast settlement

    • POP is retrieved only in exception cases (e.g., beneficiary reports non-receipt)

Partners may choose the mode that best fits their operational needs.

POP delivery is manual. It is not automated via API and requires an explicit request.

Common Transaction States

TemboPlus uses standardized transaction states for payouts. Below are the most frequently encountered ones:

  • PENDING — The payout request has been submitted and is awaiting processing.

  • PAYMENT_ACCEPTED — The payout was successfully processed by the provider.

  • INSUFFICIENT_BALANCE — The partner's disbursement wallet does not have enough funds to complete the payout.

  • GENERIC_FAILURE — A non-specific error occurred, often due to a provider's internal system issue.

  • PAYMENT_REJECTED — The provider declined the transfer (e.g., invalid account details, channel error).

  • REVERSED — Provider returned a successful response, and the partner’s disbursement wallet was debited, but the beneficiary did not receive the funds. After verification with the provider, TemboPlus refunds the amount and updates the status to REVERSED.

How to Fund (Prefund) the Disbursement Wallet

The partner disbursement wallet provided by TemboPlus is a virtual account managed and recognized within the TemboPlus system. To fund the wallet for payouts, partners can use one of the following options:

1. Auto-Settlement from Collection Wallet

For partners who use TemboPlus Collection:

  • Your collection balance can be automatically swept daily into the disbursement wallet.

  • A partner may send a transfer request from the collection wallet to the disbursement wallet via: 📧 operations@temboplus.com

2. Direct Bank Deposit to TemboPlus Pull Account

Partners can pre-fund their account by depositing funds into the TemboPlus pull account. Please contact TemboPlus Support for detailed instructions on how to complete this process.

For additional funding options, contact: 📧 operations@temboplus.com

Best Practices for Handling Payout Responses

Different banks and MNOs return different initial statuses.

What to Expect

  • Some providers return PAYMENT_ACCEPTED immediately upon validating the request

  • Others return PENDING, with final confirmation submitted through the callback notification

Recommended Integration Practices

  • Implement proper webhook handling and status checking mechanisms to ensure you receive final transaction status confirmations

  • Monitor for INSUFFICIENT_BALANCE and top-up promptly

PreviousAPI ReferenceNextInitiate Payout

Last updated