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HELB Announces 80% Penalty Waiver For Loan Defaulters
Nairobi, Kenya – The Higher Education Loans Board (HELB) has introduced a major financial relief program, offering an 80% waiver on accrued penalties for loan defaulters who clear their outstanding balances in a single payment.
Financial Relief for Struggling Graduates
This strategic initiative aims to ease repayment pressures for thousands of HELB beneficiaries while encouraging debt clearance and compliance. The announcement comes as many graduates continue facing economic challenges in Kenya’s post-pandemic recovery period.
In an official notice released on Monday, March 24, HELB urged defaulters to take advantage of this limited-time offer through their various communication channels, including:
- Phone calls
- Direct messages
- Email communications
CEO’s Statement on Economic Challenges
HELB Chief Executive Officer Charles Ringera explained the rationale behind the waiver: “We acknowledge that unemployment, underemployment, and a challenging business environment have significantly affected HELB loan repayment. This initiative is meant to ease the burden on defaulters while encouraging proactive debt clearance.”
The CEO specifically referenced the ongoing economic impact of COVID-19, noting that Kenya, like many nations, continues to experience slowed economic growth that has made loan repayment difficult for many graduates.
Historical Context of HELB Waivers
This isn’t the first penalty waiver initiative from HELB. In 2018, the board implemented a 100% penalty waiver that successfully encouraged many borrowers to clear their balances. These periodic waivers serve dual purposes:
- Providing relief to financially strained graduates
- Ensuring funds circulate back to support new students
How the Waiver Benefits Kenya’s Education System
The 80% penalty reduction serves HELB’s broader mission of maintaining a sustainable revolving fund. By recovering outstanding loans, the board can continue financing higher education for future generations of Kenyan students.
“Settle your HELB loan in a lump sum and enjoy an 80% waiver on accrued penalties. Simple, rewarding, and just a call, DM, or email away!” HELB’s statement emphasized.
Call to Action for Borrowers
HELB encourages eligible borrowers to act promptly before the offer expires. Taking advantage of this waiver not only clears individual financial obligations but contributes to Kenya’s collective education financing system.
Related Articles:
- Government Announces New HELB Disbursement Dates
- HELB Disburses Ksh1.56 Billion To Students Following The Government Directive
This article summarizes an original report. Read the full original article for complete details.
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