Fintech companies provide banking and lending services and Fuliza loan is the best way to the future as it pertains to overdraft. Fuliza loan is an overdraft service from Safaricom which permits M-Pesa customers to start and complete their normal transactions when they don’t have sufficient money on their M-Pesa account.
We will take you through Fuliza loan and all you need to know about its overdraft services.
About Fuliza loans
Fuliza loans, which is also called Fuliza M-Pesa is an overdraft service for all M-Pesa users. In summary, see Fuliza loans as a normal bank overdraft. CBA Bank designed it and is obtained through Safaricom’s M-Pesa.
Note: People say the platform is a loan but it is not. Fuliza loan is a continuous overdraft service.
Pros and cons
Pros:
- Liable to receive data from the internet
- It also adds words to user-defined dictionary
Cons:
- The app prevents the device from sleeping and liable to drain smartphone battery.
Minimum and maximum amount
The minimum amount for a Fuliza loan ranges from Ksh.1 to a maximum of Ksh. 42,000.
Interest rates
The interest rate for Fuliza loans varies. The breakdown is below:
- Ksh. 0-100 (Ksh 2)
- Ksh 101 to 500 (daily fee Ksh 5)
- Ksh 501- ksh. 1000 (fee Ksh 10)
- Ksh. 1001-1500 (fee of Ksh 20)
- Ksh 1501-2500 (has a daily fee Ksh 25)
- Ksh 2501-42,000 (operate a daily fee Ksh 30)
Requirements for Fuliza loans
The requirements for Fuliza M-Pesa include:
- Have an active Safaricom line which should be in use for over 6months
- Be a registered M-Pesa customer.
Loan registration procedures
There are two different methods of loan registration process. They are:
- Through USSD code, by dialing (*234#)
- By launching your Safaricom app, then choose Fuliza M-Pesa and select opt in.
How to grow your Fuliza loan limit
To grow your loan limit, follow the two steps below:
- Make use of your Safaricom and M-Pesa services as often as possible
- Repay your loans early
Your loan limit is reviewed every 3 months, which depends on your usage of the M-Pesa account.
Note: You can instantly increase this limit by opting out and then opting in. This method works half the time. Often your limit will be reset back to zero.
Additional fees
They charge you a maintenance and an access fee. It is 1% on your outstanding balance.
Fuliza loan services.
Fuliza service is used to complete various transactions like:
- To send money to other people
- Performing transactions through all “Lipa Na M-Pesa” transactions.
Note: You cannot withdraw your Fuliza funds, but you can transfer and make other transactions.
Fuliza USSD code and how to opt in
The USSD code to access Fuliza overdraft services is *234#. After dialing the code, choose Fuliza M-Pesa to opt in.
Advantages of Fuliza loans
The sole and main advantage of Fuliza overdraft is that you can continue with your transactions even when you have an insufficient balance in your M-Pesa account.
Note: When you go for overdraft, see it like any other debt.
Fuliza loan App review
Fuliza app features are:
- Ability to read your device data, contacts, call log and message information
- It also reads your current location
How to repay Fuliza loans
The only unique way of repaying Fuliza loans is by automatic deductions upon loading of the M-Pesa account. Safaricom deducts once you top up your M-Pesa account. They can review the terms at their own sole discretion.
Penalty for late repayment
After 30days and you haven’t paid your balances, it will cause inaccessibility of future loan services.
Overpayment on Fuliza
After the automatic deduction of your loans, they leave the remaining balance or your remaining over payment in your M-Pesa account.
How to contact Fuliza loans
To contact Fuliza loans, dial *234# or 100.
Conclusion
Ensure you read the terms and conditions before going for the loan. Most customers ignore this part. Read to understand your rights as a customer. Read through the entire loan process. In addition, study the part on the consequences of defaulting. Then you get to understand what would happen if you don’t repay your loan.