How to Apply for Faraja Safaricom Loans, Faraja USSD
Faraja is a Zero interest loan service offered by Safaricom. The service gives a chance to millions of Safaricom users to shop for goods and pay for services and then pay the loan later.
Faraja offers a minimum loan limit of as low as Ksh.20 and a maximum limit of Ksh.100, 000. You are expected to pay the same amount credited to you without any extra fees. However, it is important to note that normal M-Pesa charges apply at the point of sale. Equity bank will bankroll these charges.
Faraja is slightly similar to Fuliza only that, Unlike Fuliza, it has zero interest and does not allow users to send money. You can only access it via Lipa Na M-Pesa options, Buy Goods Till Number, or Pay bill.
It is also important to note that the Faraja loan service will only apply to participating merchants. Currently, only a few merchants are accepting Faraja Loan services. These include Naivas Supermarkets, Good life Pharmacy, and Citi Walk.
Safaricom is aiming to extend Faraja services to more businesses including bars, fuel stations, supermarkets, and restaurants.
- The applicant must have an active Safaricom Line and be a M-Pesa customer. However, if a customer is awarded a zero limit, they cannot access the loan.
- You should not by any chance be blacklisted by CRB.
- You can only have a maximum of two accounts under one National ID
Faraja USSD/How to Apply for Faraja Loan
The Faraja Safaricom loans USSD is *799#.
Below is a guideline on how to opt-in/Apply for Faraja loans.
Step 1: Dial *799#
Step 2: In the listed 3 options select the option. The options are:
- Choose option 1 to opt-in
- Choose option 2 to continue in Kiswahili
- Choose option 3 to ask for help
Step 3: Find the terms and conditions at https://farajacredit.com/terms. Next, select option 1 if you agree to continue and option 2 to request the terms and conditions to read
Step 4: Enter your first name as it appears on your National Identification Card (ID) and then select 1 to continue.
Step 5: Enter your Surname as it appears on your National Identification Card (ID) and then select 1 to continue.
Step 6: Key in your National Identification Number correctly
Step 7: Confirm that you have entered the correct details and select 1 to continue to the next step. In case your details are not correct select option 2 to edit.
Step 8: After confirming your details, a screen with the following options will appear:
- I: Apply for Faraja 0% interest credit
- 2: My Rewards
- 3: My account
- 4: Opt in as a Faraja Merchant
- 9: Help
Step 9: To apply for the credit select option 1
Step 10: All your details will appear on the screen, select yes to proceed or edit to make changes. Press ok on the pop-up screen that appears to continue.
Step 11: Next you will receive a pop screen requesting your M-Pesa PIN, enter it correctly
After a few minutes, you will receive a message informing you whether you have qualified for the loan or not. If you have qualified, they will also send you the loan limit.
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How to pay using Faraja Loans
Below is a guideline on how to pay a merchant using this service:
- Dial *799# and select lipa Na M-Pesa
- Select Buy Goods and Services or Pay bill option
- To buy goods and services you are required to enter the till number, amount, and M-Pesa PIN after which you will receive a confirmation message for the success or failure of the transaction.
- For the Pay bill, you are required to enter the business number, account number, and M-Pesa PIN after which you will receive a confirmation message for the success or failure of the transaction.
How to repay Faraja Loan
You are required to pay the outstanding Faraja loan within the given period of 7-30 days. You can use the designated Pay bill number or other channels provided by Safaricom. Partial repayments are acceptable however earlier payments will help you increase your loan limits.
In case you are late to repay your loan, there will be no penalties. However, you will be disqualified from accessing the loan in the future. In addition to that, Safaricom will deploy debt collecting agents in case the loan is not repaid on the agreed time.
In case of a default, Safaricom lists the affected individuals with the CRB. To repay Faraja loans follow the simple guideline below:
- Dial *799# from your phone
- Select the transaction you want to pay and then press send.
- Key in your M-Pesa PIN and press send
- Accept the transaction or decline it.
- Once accepted you will get an SMS notification confirming the credit transaction details. That is the amount paid and the new balance.
- You have successfully repaid your loan