Telecommunications firm Safaricom has announced 40 per cent discounts on Fuliza fees. Safaricom has also introduced a grace-period of three days for people who take Fuliza loans. The Fuliza discounts will come into effect from October 1, 2022.
“We have continued to assess the evolution of consumer behavior and the economic conditions to identify ways in which we can further enhance the utility of our digital financial services,” Safaricom said in a joint press release with KCB Bank and the NCBA Bank Group.
“Towards this end, we are introducing a new discounted tariff of up to 40 per cent on Fuliza.”
Safaricom said that customers that drawdown Sh. 1,000 and below shall enjoy a waiver on the daily maintenance fees for the first three days.
At the same time, the daily charges for customers taking loans of between Sh. 1,001 and Sh. 1,500, Sh. 1,501 and Sh. 2,000 and Sh. 2,501 and Sh. 70,000 have been revised downwards by 10, 20, and 16.7 percent respectively.
“You will pay the current daily maintenance fees on your outstanding balance. The new discounted price will take place after you clear your balance,” said Safaricom.
So far, Fuliza has been charging an interest rate of Sh. 1.083 percent and a daily administrative fee depending on the amount one borrows in addition to the normal M-Pesa transactions.
Fuliza was launched in 2019 by Safaricom and allows one to complete mobile transactions if they lack sufficient amounts in their wallets. In the first half of 2022, Kenyans borrowed Sh. 1.6 billion from the overdraft service.
Safaricom makes automatic deductions for any money you receive on your Mpesa account if you owe it to their overdraft service. This makes most customers question their trust in the service.