The Higher Education Loans Board (HELB) has announced an 80 per cent waiver on accrued penalties for defaulters who choose to settle their loans in a lump sum.
In a notice issued on Monday, March 24, HELB urged those willing to take up the offer to contact the loan board through their various channels.
"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!" the statement read.
However, the notice did not offer an end date for the significant waiver.
HELB has previously offered waivers on accrued penalties to entice Kenyans who have gone years without paying their dates to take the step.
On March 1, 2022, HELB issued a staggering 100 per cent waiver on all penalties in a campaign to encourage repayment in the aftermath of the Covid-19 pandemic.
The waiver had been open to all loan defaulters and was to run until April of the same year. However, upon completion, HELB extended the waiver period for two more months to end in June 2022 in sign of goodwill.
According to HELB Chief Executive Officer Charles Ringera, the move was meant to appreciate loan defaulters who were willing to pay the loans despite the hard economic times brought on by the global pandemic.
"Due to the Covid-19 pandemic, Kenya just like many other countries globally has experienced a slowing down of the economy over the last 2 years," part of the statement read.
"We acknowledge that unemployment and underemployment as well as a challenging environment for loanees to start and run businesses, has affected HELB loan repayment."
In 2018, a similar 100 percent penalty waiver was also offered to bolster repayment and encourage people to pay the loans in a lump sum.
These regular waivers aim to ensure compliance for thousands of Kenyans who have failed to meet the requirements of their HELB repayment plans years after graduating.
