Aspira introduces Soma Education Loan to ease financial burden on parents

Students in Eldoret town, Uasin Gishu County

Students in Eldoret town, Uasin Gishu County, on May 9, 2023, as schools reopened for the second term. 

Photo credit: Jared Nyataya | Nation Media Group

What you need to know:

  • The company said it is commitment to empowering parents to provide quality education for their children.
  • One of the standout features of the Aspira Soma Education Loan is its affordable interest rate.

Buy-now-pay-later firm Aspira has unveiled the Aspira Soma Education loan, a groundbreaking initiative to provide funding for children's education across all learning institutions.

As schools reopen this week for third term, the announcement has come a relief to many parents who are grappling with the challenges of securing quality education for their children.

The Aspira Soma Education Loan will offer parents and guardians the opportunity to access funding of up to Sh500,000, catering to learners at every stage of their educational journey – from kindergartens to universities.

Quality education

Aspira Kenya's Chief Operating Officer, Irshad Muttur, highlighted the accessibility of the credit, extending its availability to both existing customers and newly onboarded clients. The company said it is commitment to empowering parents to provide quality education for their children through the new venture.

"Kenyans place a high premium on education, and this facility is designed to solve the challenges in paying school fees for students and aims to ensure funds are available when the parents, guardians, and sponsors need them," said Muttur.

Muttur further underlined the significance of timely access to education financing, particularly when it concerns the welfare and future of a child.

"Soma Education Loan is bridging that gap by empowering parents in terms of convenient and affordable finance so that our children can stay in school and learn," he said.

Affordable interest rate

One of the standout features of the Aspira Soma Education Loan is its affordable interest rate, set at a mere 2 per cent per month. This advantageous rate makes loan repayment within the school term a feasible endeavor, ultimately contributing to the alleviation of financial stress on families.

With the schools reopening this week, more than 140,000 primary and secondary students, along with 300,000 more in institutions of higher education are expected to resume their studies.

The prevailing economic challenges have left many parents concerned about their ability to cover the costs of education.

Aspira Kenya, which was established in 2018, has been instrumental in diversifying the options available to Kenyans for purchasing goods and services on credit. From household essentials and personal electronics to travel and insurance, Aspira has empowered individuals with flexible credit assessment, competitive rates, and generous limits. Individuals can access up to Sh500,000 in credit, while SMEs can avail themselves of up to Sh3 million to enhance their businesses.