Many M-Pesa users have raised concerns over declining Fuliza limits despite maintaining a consistent repayment record. Safaricom has now shed light on why borrowing limits can decrease even when customers settle their overdrafts on time.
The clarification came after a customer questioned why their Fuliza limit had been reduced despite regularly repaying borrowed funds.
“Why is my Fuliza limit being reduced when I always repay on time? And why are deductions still being made from my account balance?” the customer asked.
In response, Safaricom explained that Fuliza limits are reviewed periodically by partner lending institutions and can either increase or decrease based on several factors beyond repayment history.
Repayment Alone Does Not Determine Your Limit
According to Safaricom, a good repayment record is only one of the factors considered when determining a customer’s borrowing capacity.
The financial institutions behind the Fuliza service also assess transaction patterns, frequency of M-Pesa usage, account activity, and other risk-related indicators before adjusting a customer’s limit.
As a result, some users may experience a reduction in their borrowing limit even if they have consistently cleared their overdrafts.
“The bank may review your limit upwards or downwards at its discretion depending on your usage,” Safaricom explained.
How to Request a Fuliza Limit Review
Customers who wish to have their limits reassessed can initiate a review through Safaricom’s self-service platform.
The company advised users to dial *334# once every month to trigger a fresh evaluation of their Fuliza eligibility.
*”You may dial 334# once every month to refresh your Fuliza limit. We will notify you if there is any change,” Safaricom stated.
The process allows lending partners to reassess a customer’s profile and determine whether the limit should remain unchanged, increase, or decrease.
Understanding How Fuliza Works
Fuliza is an overdraft facility available through M-Pesa that allows users to complete transactions even when they do not have sufficient funds in their accounts.
Any amount borrowed is automatically recovered once money is deposited into the customer’s M-Pesa account.
While the service has become a vital financial lifeline for many Kenyans, borrowing limits remain dynamic and are regularly reviewed based on individual usage patterns and risk assessments.
For customers concerned about changes to their limits, Safaricom recommends regularly using M-Pesa services, maintaining responsible borrowing habits, and requesting periodic reviews through *334#.
