Students who borrowed the Higher Education Loans Board (HELB) loan and wish to repay in instalments can pay a minimum of Ksh1,500 monthly, the Board has announced.

🇰🇪 Breaking It Down

The clarification guides borrowers who may not be in a position to make larger payments at once but want to continue servicing their HELB loans through regular instalments.

The explanation followed queries from borrowers who sought the Board's guidance on the minimum monthly payments they are required to make once they start repayment.

Responding to the queries, HELB recommended a minimum monthly payment of KSh1,500 for borrowers who intend to repay their loans in instalments.

📌 What You Need to Know

"Since you'll be paying in installments, we recommend a minimum payment of Ksh 1,500 per month," the loans board said.

The response provides guidance to borrowers who may not be in a position to make larger payments at once but want to continue servicing their HELB loans through regular instalments.

The Ksh1,500 recommendation means borrowers opting for gradual repayment can make monthly payments of at least the stated amount as they work towards clearing their outstanding loan balances.

While HELB recommends Ksh1,500, some borrowers report paying up to Ksh5,000 monthly.

This is because HELB can recommend higher amounts for you to pay depending on the circumstances surrounding your loan status.

If a borrower took massive undergraduate and postgraduate loans, the standard 4per cent interest reducing-balance calculation over a fixed period might dictate a Ksh 4,000 to Ksh 6,000 monthly deduction to clear it within the standard window.

📰 Source: Kenyans.co.ke