Why the M-pesa pin prompt in Hustler fund registration.
Since the launch of hustler fund, Many Kenyans have been asking why the M-pesa pin prompt unlike other lenders such as Tala and Branch.
The PIN is required to verify the owner of the Hustler Fund account where the loan will be disbursed.
So, If a customer has a Fuliza loan and would like to access the Hustler Fund loan, the Safaricom product ( fuliza) will be suspended for 24 hours to ensure the Hustler fund is used before resumption.
However, Any other funds received in the same mobile number apart Hustler Fund within 24 hours, will be used to repay the Fuliza overdraft.
Those who will default in paying back their borrowed hustler fund, will have their interest rate increased from 8 per cent to 9.5 per cent.
However, a customer is given a grace period of 15 days after the days of repay have lapsed, before the increase of the interest rate to 9.5%.
Also, those who default, will have their hustler fund accounts frozen.
President Ruto said,”After more than 30 days of default, the borrower loses all the credit scores accumulated and the Hustler Fund account is frozen.”
However, one will not be listed in CRB, he or she will be able to access their account one they fully pay their loan.
“The defaulter can repay the loan at once or in instalments and begin borrowing again after full repayment,” president Ruto added.
Additionally, hustler fund customers have a chance to increase their loan limit, if they borrow and repay before the time lapses.
The president affirmed,”Wakati unakopa na kulipa ndio unapata nafasi nyigine ya kukopa tena, unagraduate uende micro loan itoke Sh50,000 uende level nyingine.”