How to Apply for the Hustler Fund on Your Phone

The Hustler Fund is President William Ruto's initiative for Kenyans to access more affordable loans without worrying about CRB listing.

The Hustler Fund is President William Ruto's initiative for Kenyans to access more affordable loans without worrying about CRB listing. Under his presidency, the government set aside over Ksh.50 billion to uplift small businesses and enterprises (SMEs) and help individuals facing financial struggles.

Launched on 30th November 2022, this affordable loan is available to individuals, small enterprises, groups, and co-operatives. Keep reading this article to learn more about Hustler Fund and how you can effortlessly apply for this affordable loan.

Who Can Apply for the Hustler Fund?

The Hustler Fund will issue loans to different types of groups, including:

• Individuals
• Groups
• Small businesses, enterprises, and co-operatives

Eligibility Requirements for the Hustler Fund

Any Kenyan who would like to apply for the Hustler Fund should meet the following requirements:

• Must be a Kenyan citizen of 18 years of age and above
• Must have a valid national Identification Card (ID)
• Have a valid Good Conduct certificate.
• Must have a registered mobile number from a recognized Mobile Network Operator in Kenya (Airtel, Safaricom, or Telkom)
• Must have a mobile money account (Airtel Money, M-PESA, or T-Kash)
• Must have used their SIM card for at least 90 days
• Should belong to the low-income earners
• Should be a member of any investment group, credit society, or registered association.

How to Register for the Hustler Fund Loan

You can register for the Hustler Fund Loan project through USSD or the mobile app of any network operator. Take the following steps to register for the Hustler Fund Loan.

Through USSD

1. On your phone, dial *254#Select option 1 to register
2. Accept the Terms and Conditions
3. You'll then be required to provide your Mobile Money Pin (MPesa, Airtel Money, or TKash Pin)

You'll receive a popup message confirming that you've successfully registered.

Through Mobile app

To register for the Hustler Fund Loan, you'll be required to

1. Download the MPesa App, My Airtel app, or T-Kash app from Google Play Store or App Store.
2. On the app, look for the Hustler Fund option and click on it
3. Follow the onscreen instructions

How to Apply for the Hustler Fund Loan

It is simple for any eligible person to apply for the Hustler Fund Loan. You can apply for Hustler Fund Loan on your mobile phone via USSD or through the mobile app of any mobile network operator in Kenya. Here is how you can apply for the Hustler Fund Loan.

Through USSD

You can take the following simple steps to apply for the Hustler Fund Loan via USSD:

1. On your mobile phone, dial the USSD code *254#
2. Select the Loan Request option to see the limit, interest, and loan tenure
3. Enter the loan amount
4. Then tap on OK to continue
5. You can then confirm the loan details
6. Enter your Mobile Money Pin

Via Mobile app

Alternatively, you can also use the mobile app of mobile networks, including Safaricom Telkom and Airtel, to apply for the Hustler Fud Loan by taking the following steps:

1. Open the Mobile App from any mobile network operator
2. Select the Loan Request option to see the limit, interest, and loan tenure
3. Enter the loan amount
4. Then tap on OK to continue
5. You can then confirm the loan details
6. Enter your Mobile Money Pin

You'll then receive an SMS confirming your application.

How Much Money Do You Receive?

If your loan application is approved, you'll receive 95% of the funds in your mobile money account. The remaining 5% will be deposited into your savings account for the Hustlers pension program with 70% to your pension account and 30% to your short-term savings account.

For example, if you borrow Ksh.1000;

• You’ll receive Ksh.950
• 50 (5% of Ksh.1,000) will go into their savings account with Ksh.35 to Pension account and Ksh.15 to short term savings account

Other than the 5% that is used for saving, Hustler Fund does not impose a transaction fee.

What is the Hustler Fund Loan Limit?

Hustler Fund Loan amounts for individuals will range from Ksh.500 to Ksh.5000. You should keep in mind that your credit score and repayment history will determine your loan limit.

Additionally, businesses and groups can access a much higher loan limit of up to Ksh.250000.

However, the president clarified that the limits could increase as they continue to roll out the fund.

What is the Hustler Fund Interest Rate and Repayment Period

Hustler Fund Loans are the most affordable and convenient loans. They will be offered at an interest rate of 8% per annum.

You'll also be given 14 days to repay the loan. If you cannot repay the loan within the 14-day limit, you'll be given an additional 15 days to repay the loan.

How to Repay the Hustler Fund Loan

You'll have 14 days to repay the Hustler Fund loan. The loan can be repaid through the USSD code *254# or the mobile money app of your service provider.

What Happens if You Default the Hustler Fund Loan?

You'll be required to repay the Hustle Fund loan within 14 days of receiving it. After 14 days, your credit rating will be affected. However, you'll be given 15 more days to repay the loan.

If you still fail to repay the loan after the additional 15 days, the interest rate will increase to 9.5% per year.

If you default on the loan for more than 30 days, you'll lose your credit score, and your Hustler Fund account will be frozen.

You'll only be allowed to borrow again after fully repaying your defaulted loan.

On the brighter side, Hustler Fund defaulters will not be listed on CRB. You'll only lose your accumulated credit scores and have your Hustler Fund account frozen.

How Groups or Businesses Can Apply for the Hustler Fund Loan

SMEs, startups, and other types of businesses can physically apply for the Hustler Fund loan by taking the following steps:

1. Form a Youth group or Women's group
2. Create a business proposal
3. Make sure you have a Certificate of Good Conduct.
4. Provide your home address
5. You can then collect the signatures of four guarantors, of which two must be your relatives.
6. Sign a non-disclosure agreement. You'll agree to serve a jail term for defrauding the government if you fail to repay within six months.
7. Open a National Bank or KCB bank account.
8. Provide your KRA Pin

Conclusion

Hustler Fund is a simple, fast, and efficient way of accessing affordable and favorable loans. Unlike other loaning platforms, you'll not worry about high interest rates or getting blacklisted on CRB if you face problems repaying your loan.

You can effortlessly apply for the Hustler Fund loan by dialing *254# or through the mobile application platforms of all the mobile network operators in Kenya.