KCB signs up three varsities for issue of smart loan cards

KCB has signed up three universities to issue their students with Higher Education Loans Board (Helb) smart cards that will see the lender earn commissions and benefit from bulk deposits by the State agency.

KCB and the loans agency are expected to announce the partnership on Thursday, ahead of a June deadline that will require all varsities to have issued their students with the smart cards.

KCB will distribute approximately 14,000 smart cards to students of the three universities whose identities will be disclosed at the launch.

Helb, which has prequalified seven banks to issue the special cards, said the technology will improve efficiency in loan disbursement to its nearly 164,000 beneficiaries.

“These smart cards will end the battles we have been having with students claiming that their loans have delayed in being credited into their accounts,” said Charles Ringera, Helb chief executive officer.

The smart cards will have three e-wallets — tuition, personal upkeep and another for books and stationery which cannot be mixed up.

READ: Helb signs banks to track borrowers with smart cards

Students will have access to the upkeep and stationery compartments at ATMs while tuition money will be accessed via a point of sale systems provided at the students’ universities.

Helb has been preparing to launch the smart cards for over four years. Last year, it signed up Family Bank, KCB, Chase Bank, NBK, Equity, Jamii Bora and NIC Bank to develop the special cards.