The HELB Communications Director, Wavi Muigai added that plans are set up to guarantee the defaulters pay.
"They will be listed on CRB, and there are punishments of Ksh5,000 every month as per the HELB Act. Individuals pay month to month and we keep tabs of the individuals who pay each day," Muigai expressed.
She likewise explained that penalties are sanctioned every year after one graduates. If the loanee defaults for a half year continuously, they are added to the CRB list.
"We principally don't wait for a specific time frame since individuals graduate on various occasions," Muigai expressed.
Further, during the conference, the board authoritatively assumed control over the Afya Elimu Fund (AEF) in a move pointed toward offering scholarships to needy students.
AEF is a loan scheme that has offered support to more than 48,188 students with a sum of Ksh3.06 billion fund exceeding the underlying objective of Ksh2 billion, as indicated by Ringera.
"The vision of AEF at initiation was to develop the Fund to Ksh2 billion by the year 2021 and we have outperformed the objective. Further, we have more than 11,000 recipients who have graduated.
"Recovery of these advances started in the Financial Year 2019/2020 and over Ksh200 million has been recuperated to date," Ringera expressed.
AEF at first started as a scholarship strategy that focused on 341 learners in the health area from marginalized zones. It was subsequently changed over into a loan scheme in the financial year 2013/2014.
Past reports showed that the number of Kenyans who defaulted on the loan expanded during the Covid-19 period by 55%.
Ringera attributed the reason for this to mass layoffs during the specified period
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