Safaricom has provided clarification on circumstances that can lead to mobile money users being reported to Credit Reference Bureaus (CRBs) for defaulting on Fuliza overdrafts, even while their M-Pesa lines remain active.
The telecommunications company issued the statement following a public complaint from a customer who was listed with a CRB over an unpaid Fuliza loan.
The user contested the listing on Safaricom’s official Facebook page, arguing that his active M-Pesa account used regularly for transactions should have been leveraged for direct deduction of the overdue amount.
“You sent me to CRB due to a Fuliza loan overdue on a number I use daily. Why not deduct the money from my M-Pesa account?” the customer wrote.
Safaricom confirmed to media that an active M-Pesa line does not prevent CRB listing if a customer fails to meet the agreed repayment terms for the Fuliza overdraft facility.
“Safaricom can list a customer on CRB over a Fuliza loan even when the M-Pesa line is active and carrying out transactions. This occurs when the overdraft loan has been defaulted,” a company representative stated.
Fuliza allows M-Pesa users to complete transactions when their balance is insufficient, with the expectation of repayment once funds are deposited.
The company emphasized that the service is a credit facility bound by formal repayment agreements, not an automatic deduction feature.
The incident highlights the formal integration of digital lending platforms with Kenya’s credit reporting system.
Safaricom has previously noted that a customer’s CRB status, alongside factors like transaction history and savings in linked products such as M-Shwari, directly influences their Fuliza credit limit.
Safaricom facilitated the removal of approximately 4.6 million Kenyans from negative CRB listings to improve credit access.
The firm continues to advise borrowers to adhere to repayment schedules to maintain their creditworthiness and avoid long-term implications on their financial profiles.
