EXPLAINED: 4 Ways Kenyans Can Access Safaricom Fuliza

Running short of money in an M-PESA account does not necessarily mean an electronic transaction has to fail. For eligible Safaricom customers, Fuliza can cover the shortfall and allow the transaction to go through.

Fuliza M-PESA is a continuous mobile overdraft service that allows customers to complete eligible M-PESA transactions when their account balance is insufficient.

The service is provided by Safaricom in partnership with NCBA and KCB Bank, with customers receiving an individual limit after opting in.

For example, if you want to pay KSh1,000 but have only KSh400 in your M-PESA account, Fuliza can cover the remaining KSh600, provided the amount falls within your available limit.

The facility can be used to send money, pay for goods and services through Lipa Na M-PESA, pay bills and buy airtime. It is not, however, meant for withdrawing cash directly from an M-PESA agent.

But how does Fuliza work, what does it cost and how can customers access it?

How Fuliza Works

Once a customer opts into the service, Safaricom assigns them an overdraft limit based on their eligibility and M-PESA usage. The limit can go up to Ksh 70,000, although the amount available differs from one customer to another.

The facility comes into play when a customer attempts an eligible transaction that costs more than the money available in their M-PESA account.

For instance, someone with Ksh 400 in their account who needs to make a Ksh 1,000 payment can use Ksh 600 from their available limit to complete the transaction.

Repayment is automatic. When money is subsequently deposited or received in the M-PESA account, the outstanding amount is deducted to recover the overdraft.

The amount available can also change over time. Safaricom says customers can grow their limits by continuing to use M-PESA and repaying what they owe on time. Customers who have been on the network for less than six months may have a zero limit.

Also Read: Safaricom Explains When Customers Can Refresh Their Fuliza Limits

What Does Fuliza Cost?

Fuliza does not charge a conventional monthly interest rate. Instead, customers pay an access fee when they use the facility and a maintenance fee depending on the amount outstanding.

A one-time 1 per cent access fee is charged when the overdraft is used and a daily maintenance fee is then applied based on the amount owed.

Under the tariff provided by Safaricom, the maintenance charge ranges from zero to KSh25, with a 20 per cent excise duty applying to the maintenance fee.

Customers who borrow KSh1,000 or less have a three-day grace period on the daily maintenance fee. If the amount is cleared within the three days, they do not incur the maintenance charge and only pay the initial 1 per cent access fee.

This means the longer an outstanding amount remains unpaid, the more the customer may have to pay.

Four Ways to Access Fuliza

1. USSD — 334#

Customers without access to mobile internet can use the USSD option.

Dial *334# on a Safaricom line and follow the prompts to access M-PESA services and the relevant Fuliza options.

Unlike smartphone applications, USSD does not require an internet connection. This makes it an option for customers using basic phones as well as those who simply prefer the traditional M-PESA menu.

The service can also be used to manage the facility and check information relating to a customer’s available limit.

2. SIM Toolkit

The fourth option is the SIM Toolkit, which is built into the Safaricom SIM menu on compatible phones.

A customer can open the Safaricom menu, select M-PESA and proceed with an eligible transaction.

If the available balance is insufficient, the system can offer the option of completing the transaction using the customer’s available Fuliza limit.

The SIM Toolkit remains useful for customers who prefer the standard M-PESA menu and do not want to rely on smartphone applications.

3. My OneApp

My OneApp is Safaricom’s newer mobile app, where customers can access M-PESA services alongside other features.

Fuliza can be accessed through the M-PESA section when an eligible transaction exceeds the money available in the customer’s account. If the customer has an active limit, the facility can cover the difference and allow the transaction to be completed.

4. MySafaricom App

Customers who still use the MySafaricom App can access Fuliza through the M-PESA section when making eligible transactions.

If the amount a customer wants to send or pay is higher than the balance in their account, the available Fuliza limit can cover the shortfall, allowing the transaction to go through.

The app also allows users to manage their M-PESA transactions and other Safaricom services from their smartphones.

Also Read: How to Refresh Your Fuliza Limit Using My OneApp

Who Is Eligible for Fuliza?

Having an M-PESA account does not automatically give a customer access to an overdraft limit.

Customers must first opt into the service and meet Safaricom’s eligibility requirements. The limit assigned is based on factors including the customer’s activity on the network and use of M-PESA services.

Those who have been active on the network for at least six months can be considered for a limit, while those with less than six months of activity may receive a zero limit.

The amount can also be reviewed upwards or downwards depending on usage and repayment behavior.

Fuliza is therefore intended to help customers complete eligible M-PESA transactions when their available balance falls short.

With access through  MySafaricom App, My OneApp, USSD and SIM Toolkit, customers have several ways to use the facility depending on the phone and M-PESA channel they prefer.

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A photo showing Peter Ndegwa , the CEO of Safaricom during a past Annual General Meeting . Photo/ Safaricom