Tricks of doubling your Hustler Fund borrowing limit
The Kenya Kwanza Alliance administration of President William Ruto launched the Financial Inclusion Fund in November last year to offer loans to Kenyans with the lowest interest rates.
Since then, subscribers of the Financial Inclusion Fund, well known as the Hustler Fund have been getting constant borrowing limits until recently when the President promised that the limit will be doubled.
In a statement about the increment, Cabinet Secretary for Cooperatives and MSME Development Simon Chelugui said that not all the 18.8 million Kenyan subscribers will enjoy the increased limits.
Also read: Give us a break! DP Gachagua tells off Hustlers Fund critics
He said that the 100 percent increment is in line with the pronouncement by the President, which will be applied depending on the borrowing pattern.
To have the increment doubled, one will have to borrow the fund repeatedly and dutifully repay the loan.
This means that the changes will be implemented on a case-by-case basis.
“Therefore, the increment is based on an individual’s record will Hustler Fund; one’s loan limit will be based on how regularly one borrows and repays their loan facility,” CS Chelugui said.
According to the CS, Kenyans who have subscribed to the fund have already seen their limits double up after the changes were effected, meaning that those who were getting Sh500 limit are now getting Sh1000, those who were at Sh3000 are now getting Sh6000 borrowing limit.
Also read: What happens if you don’t repay the Hustler’s fund?
CS Chelugui has said that by the middle of the year the ones with the highest limits will be inching toward Sh50, 000, which is the maximum borrowing limit for the product.
Also, the Hustler Fund will be reviewed every four months and individuals will be rated according to their repayment history.
The CS said that the National Treasury has supported the Hustler Fund by disbursing Sh1.8 billion required to the trust accounts.
“We have wallets held in two banks, KCB Bank and Family Bank, and they are the ones who now inject liquidity into the mobile money wallets of borrowers.”
President Ruto is expected to launch a new Hustler Fund dubbed Micro Credit in the coming weeks, which is designed for Saccos, Startups and groups where they can borrow on behalf of their members.
Also read: How to determine your own Hustler Fund loan amount