HELB Announces 100% Penalty Waiver

By Owino Nyakiti

The Higher Education Loans Board (HELB) has announced a 100% penalty waiver to all beneficiaries. HELB Chief Executive Officer, Charles Ringera, stated that they have resolved to give the penalty waiver to all loanees. This he said, would last between Tuesday, March 1 to April 30, 2022.

According to Ringera, this new campaign is an appreciation extended to the beneficiaries for their efforts in repaying their loans despite the hard economic times occasioned by the ravages of the COVID-19 pandemic.

The CEO emphasized the need for beneficiaries to repay their loans to allow other needy students to also benefit from the funds.

"It is important for all beneficiaries to honour their obligation as stipulated in the loan application terms and conditions so as to empower the dreams of another needy student," Ringera said.

HELB is seeking to capitalize on the latest campaign to encourage more beneficiaries to repay their loans, even as the economy slowly recovers after nearly two years in a coma.

In 2020, HELB had announced a crackdown on loan defaulters in collaboration with law enforcement authorities. The approach was meant to enhance compliance, integrity and loan access to other students.

"We are also going to partner with law our enforcement agencies to track down those holding jobs and yet are reluctant to stand up to be counted as responsible and patriotic citizens who honour their debts," the statement read

Students at the enquiry section of the HELB Anniversary Towers offices, Nairobi (PHOTO: Courtney)

in part.

Loan defaulters are charged a fine of Ksh5,000 per month with the Board encouraging more beneficiaries to repay due to inadequate funding from the National Treasury.

It is estimated that HELB is owned almost Ksh50 billion by its beneficiaries and almost 15,000 defaulters cannot be traced. This has crippled their operations, especially in early remittance of the funds to students.