What safaricom charges as interest on fuliza loan per day.
Fuliza loans were introduced early 2019 and it is owned by safaricom, NCBA and KCB group. Safaricom owns 40%, NCBA 40% and KCB group owns 20%.
Kenya’s depend largely on the fuliza loans as revealed by the statistics. On a single day Kenyas borrow upto a tune of one point three billion shillings (1.3b). This underlines the dependency on the loans for household use or daily needs.
Any loan borrowed attracts an interest which is charged per day as follows:
2500/= and above 36/=
1500/= to 2500 30/=
1000/= to 1500. 24/=
Fuliza is becoming more popular day by day. Active members on a day are about one point seven million users (1.7m).
The data was revealed today by Safaricom while releasing half year financial reports. The company posted a net profit of Shillings 37.055 billion for the half year. The profit was boosted by higher M-Pesa revenue from fuliza facility.
Within the six months period the company disbursed 242.6 billion shillings through the fuliza loans which is an increase of 62% compared to same period last year.
Fuliza facility has killed other loan products from safaricom like M-shwari and KCB M-pesa loans. More people prefer fuliza over the other two loan facilities from the company.
The Fuliza loaning facility earned Safaricom Shilings 2.8 billion out of the 3.055 billion shillings net profit for the half-year period. Last year the earnings from the facility were 2.1 billion shillings.
In terms of repayment the facility is the best compared to the other two loaning facilities from safaricom. Repayment is 99% , KCB M-pesa 98.6% while M-shwari is 63.5%.
The repayment mode for fuliza loans is unique because the outstanding balance is automatically deducted from any receipts to the M-pesa account of the borrower.