This is a guide on how to apply for Hustler Fund Loan in Kenya. Hustlers’ Fund is an affirmative action fund established by President William Ruto administration to uplift SMEs in Kenya.
Under his presidency, the government will set aside Kshs 50 billion to provide cheap credit facilities to small businesses and enterprises.
Disbursement of the fund will commence on 1st December 2022. It will be available to individuals, small enterprises, groups and co-operatives.
Huster Fund Loan Limit
The loans will range between Kshs 500- 50,000. Loan limits will however be determined by the credit score of a borrower.
Hustler Fund Interest Rate and Repayment Period
Hustler Fund Loan will be offered at an interest rate of 8% per annum payable within 14 days. If the loan is not paid back within 14 days, the customer’s credit rating will be affected. However, you will be given an additional 15 days to pay the loan. If the loan is still not paid back after the additional 15 days, the interest rate will increase to 9.5% per annum.
It is good to note that Huster Fund defaulters will not be listed on CRB. However, your Hustler Fund account will be frozen and lose all the accumulated credit scores after 30 days of default.
How To Access Hustler Fund Loan
The loans will be disbursed through a USSD Code *254# – across all networks (Safaricom, Airtel, and Telkom).
-Misappropriation of the fund or giving false information while applying for the fund will attract penalties.
– You cannot borrow the loan using more than one mobile number because your ID number serves as the unique identifier.
How to Repay Hustler Fund Loan
The loan will be repaid through your mobile money account.
Hustler Fund Eligibility
- Be 18 years and above.
- Be a permanent resident of Kenya.
- Belong to the bracket group of low-income earners.
- Be a member of any investment group, credit society or registered association.
- Have a valid good conduct certificate.
a) How To Apply For Hustler Fund Using Your Phone
1. On your phone dial *254# and select option 1 to register
2. Accept the terms and conditions
3. Enter your Mpesa PIN
4. You will receive a popup message confirming successful registration
5. You will receive a message with the amount you qualify for within 2 hours
b) Physical Application Process
1. Form a youth group or women’s group.
2. Create a business proposal.
3. Produce a good conduct certificate.
4. Share your residential or home address.
5. Collect the signatures of four guarantors. 2 of the guarantors must be your relatives.
6. Sign a non-disclosure agreement to serve a jail term for defrauding the government in case you fail to pay the loan within a period of 6 months.
7. Open a bank account with any of the following banks, KCB or National Bank.
8. Present or produce your valid KRA PIN.
