This is according to the Acting Chief Executive Officer (C.E.O)
of the Financial Inclusion Fund, Elizabeth Nkuku, who noted that President
William Ruto’s government is developing a credit score rating system that will
be used to assess eligibility for home ownership.
Speaking during an interview, Nkuku stated that hustler loan
defaulters may be unable to access future funding, including loans
from select financial institutions.
“So, one of the things we are going to do and we are going
to roll it out is creating a score that can tell you, if you’re going to come
and rent my house let me see your hustler fund score,” stated Nkuku.
It was further explained that the credit score rating system if successful, will rely on one’s track record and history in repaying borrowed funds.
There are also plans to eventually do away with the requirement
to have collateral while borrowing.
The credit score rating will be based on awarding points for
those who repay their loans on time, consequently easing their access to
acquiring loans.
Initially, the system will feature reviewing the hustler
fund loan defaulters before proceeding to include other lenders.
“So eventually we shall grow this for a more comprehensive
review so you are not looking at only the Hustler Fund, but how we shall
include other people”, elaborated Nkuku.
Individuals who pay their loans on time will be able to use
that as leverage to gain more loans and larger amounts in their future
pursuits.
The Kenyan DAILY POST
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