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HELB Responds to Viral Social Media Claims
The Higher Education Loans Board (HELB) has rubbished reports suggesting it is set to freeze bank accounts belonging to more than 316,000 loan defaulters. The agency urged Kenyans to disregard the fake news spreading online.
In a statement issued on Sunday, June 8, HELB said:
“Relax, your bank account is safe! That viral post saying HELB is freezing accounts? Pure fiction and misinformation! Let’s not stress over fake news. Check HELB’s official page for the real tea.”
The false claims alleged HELB was preparing to recover over Ksh35 billion by targeting defaulters’ accounts—pending Parliament’s approval. For more verified updates, visit the HELB News Section.
Hustler Fund Recovery Plans Highlight Government’s Approach
The HELB statement comes months after the Financial Inclusion Fund (Hustler Fund) raised similar concerns. Acting CEO Elizabeth Nkukuu told Parliament that the government was considering deducting funds directly from the MPesa and airtime balances of loan defaulters.
Speaking before the National Assembly’s Special Funds Account Committee on October 2, 2024, Nkukuu revealed that 13 million Kenyans had defaulted on the Hustler Fund, amounting to Ksh7 billion.
“What we are looking at is to get money from their MPesa or airtime… We have the phone numbers, national IDs, and identifiers. They are people of means, just unwilling to repay,” Nkukuu explained.
Government Reassures Public on Data Privacy
In response to public concern, PS for MSMEs Development Susan Mang’eni reassured Kenyans that any loan recovery measures will be legally compliant and respect personal data rights.
“The default recovery measures under consideration will be in line with laws of Kenya and particularly in strict adherence to data protection laws. The Hustler Fund service providers’ role remains the provision of technology,” the statement emphasized.
You can also read more about the Hustler Fund deduction plans on The Star.
As debate around loan recovery intensifies, HELB continues to urge transparency and calm, reminding the public to verify all updates through official government platforms and credible news sources such as TheStar.co.ke.
