Fuliza is a popular overdraft service in Kenya. This is courtesy of Safaricom, NCBA, and KCB Bank. As such, M-Pesa users can always have an added advantage whenever they run out of balance for transactions involving the sending of money and other forms of bill payments. It’s more of an M-Pesa overdraft on your mobile that saves you whenever a transaction needs to be made urgently, but your balance isn’t enough. Here is all you need to know about using Fuliza, including the directions on how to activate and responsibly make use of it.
What is Fuliza?
Fuliza is an overdraft service through M-Pesa that enables one to complete transactions even when the balance in the M-Pesa is not enough. This acts as a short-term credit facility that provides additional money for your needs in making payments. The service is particularly helpful for small, unexpected expenses, such as paying a bill or sending cash to friends and family.
How to Activate Fuliza
Before using Fuliza, you have to activate it. Here is how:
1. Dial 234: This is the USSD code you will use to access M-Pesa services regarding Fuliza. Dial it from your Safaricom line.
2. Select ‘Fuliza M-Pesa’: Among the many options you see on your screen, select Fuliza M-Pesa.
3. Accept Terms and Conditions: Read the terms and conditions keenly. If you agree with them, confirm ‘YES’.
4. Wait for Confirmation: Once activated, you receive a confirmation SMS that you can now use Fuliza.
To check the Fuliza limit, one dials 234 and then selects the option ‘Check Limit’. It is usually different because it all depends on one’s usage of M-Pesa and the history of their transaction.
How to Use Fuliza for Transactions
Once you have activated Fuliza, it automatically kicks in when you attempt to complete an M-Pesa transaction without enough funds. Here is how that would work:
1. Sending Money: If you want to send money through M-Pesa and you have an insufficient balance, Fuliza will prompt you with an option to complete the transaction through the overdraft service. Just confirm the transaction, as you usually would, and the amount shall be covered by Fuliza.
2. Lipa na M-Pesa: If you are paying for goods and services via Lipa na M-Pesa, that is, through Paybill or Buy Goods, Fuliza can equally cover the shortfall in case your M-Pesa balance is not enough.
3. Airtime Purchase: You can buy airtime on credit using Fuliza if you have an insufficient balance. Just purchase airtime as you would normally do, and the excess amount will be deducted from your Fuliza overdraft.
How to Repay Your Fuliza Overdraft
Repaying Fuliza is automated and easy. Every time there is money in your M-Pesa account, the outstanding Fuliza will be deducted each time until it is fully paid. To manage your debt efficiently:
Check Your Fuliza Balance: Dial 234 and select the option that shows your outstanding balance.
Pay on time: While Fuliza deducts repayment automatically, you will be required to have frequent deposits into your M-Pesa account to clear the debt as quickly as possible and increase your limit on Fuliza.
Some Key Tips to the Responsible Use of Fuliza
1. Do not Abuse the Service: Fuliza is for emergencies and short-term needs. Keep off from using the service for recurrent expenses, for the fees will accumulate pretty fast.
2. Understand the Charges: Fuliza charges vary, depending on the amount one borrows. These range from KSh 2 to KSh 30 per day, depending on the outstanding balance.
3. Monitor Your Usage: Keep checking your Fuliza limit and outstanding balance from time to time. It will help you avoid surprises and give you the best way of managing your finances.
4. Plan for Repayment: Since Fuliza automatically deducts money from your M-Pesa account, make sure you have enough deposits coming in to cover the repayment so you are not always in debt.
Why should one use Fuliza?
Fuliza has several advantages:
Convenience: It’s easily accessible through your M-Pesa account, with no need for application processes that may take a lot of time.
Instant Access: The service is immediate, thus enabling one to carry out transactions in a matter of just seconds when one lacks money.
Flexible Limits: Since the limit increases with a history of transactions and M-Pesa use, this gives you more financial flexibility over time with the service.
Conclusion
Fuliza is that convenient tool for M-Pesa users facing moments of insufficient funds. It’s an ideal way out in urgent cases of making payments; however, it calls for responsible use to avoid added extra charges. Always keep an eye on the overdraft usage and pay it off as soon as possible to keep your financial health in excellent shape. With Fuliza, you can be sure that your unpredictable expenses don’t necessarily have to ruin your plans.
Are you currently using Fuliza? Share your experience in the comments and let us know how it helped you to manage your finances better!
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