Why president Ruto urges Kenyans to repay there hustler fund in time

Ruto said loan defaulters will not be listed on CRBs, as they will have another chance of reborrowing.

President William Ruto has called on Kenyans to pay their hustler fund loans on time in order to increase their loan limits.

The head of state on Wednesday said the faster one pays the debt, they will have a higher chance of increasing their loan limit.

“I urge Kenyans to pay their debts in order to increase their limit,” Ruto said.

The President boasted that as of December 7, 2022, about 13 million people had registered for the funds.

“Through the launching of this fund, we are supporting underserved Kenyans with services and products that are responsive to their enterprises. Also, liberating them from shylocks and establishing a culture of saving, investment, and social security,” he said.the fund is specifically designed to support small-scale traders in the country.

The Hustler Fund comprises four products: personal, micro business, SME and start-up loans.

To access the fund, Kenyans can dial *254# on their mobile phones.

During the launch last week, borrowers were warned against defaulting with the State issuing strict measures to curb the same.

Those who default on the loans will see their interest rates increase from 8 per cent to 9.5 per cent.

If a customer will not have paid the loans within the required time, they will be added an extra 15 days, before the increment of the interest rate.

The borrowers who default will also have their Hustler Fund account frozen.

“After more than 30 days of default, the borrower loses all the credit scores accumulated and the Hustler Fund account is frozen,” he said.

Ruto said loan defaulters will not be listed on CRBs, as they will have another chance of reborrowing.

Leave a Reply

Your email address will not be published. Required fields are marked *