Quick Answer
Fuliza is Safaricom’s overdraft service that completes your M-Pesa transactions when your balance is insufficient. To use Fuliza, dial *334#, select Loans and Savings, choose Fuliza M-PESA, and follow the prompts to opt in. Once active, Fuliza automatically covers shortfalls on send money, Lipa Na M-PESA, and airtime purchases. Your limit depends on your M-Pesa usage and repayment history, with a maximum of KSh 70,000. For more financial guides, Get more articles.
Introduction
You are at the till in a Nairobi supermarket, and your M-Pesa balance falls short by KSh 200. The cashier is waiting. You remember Fuliza. But you have never signed up.
Learning how to Fuliza can save you from embarrassing moments like this. Fuliza is Safaricom’s overdraft service, offered in partnership with KCB Bank and NCBA Bank, that covers the shortfall when your M-Pesa balance is insufficient. In the year ending March 2026, Kenyans borrowed a record KSh 1.47 trillion through Fuliza, a 49.3% increase from the previous year. The service now has 17.7 million distinct customers.
This guide walks you through everything: how to activate Fuliza, how to use it for different transactions, what it costs, and how to manage repayments. By the end, you will know exactly how to Fuliza like a pro.
What Is Fuliza?
Fuliza is a continuous overdraft service that allows M-Pesa customers to complete transactions even when they do not have enough funds in their account. It is not a loan you apply for each time. Once activated, it kicks in automatically when your balance falls short.
Why does this matter in Kenya? Fuliza has become a financial lifeline for millions. Between July and November 2025, Kenyans borrowed KSh 629.2 billion through Fuliza, a 39.8% increase from the previous year. The service is used for daily essentials like food, rent, and school fees.
Here is a breakdown of Fuliza fees as of 2026:
| Amount Borrowed (KES) | Access Fee | Daily Maintenance Fee | Total Daily Charge (incl. 20% Excise Duty) |
|---|---|---|---|
| 1 – 100 | 1% | KSh 0 | KSh 0 |
| 101 – 500 | 1% | KSh 2.50 | KSh 3.00 |
| 501 – 1,000 | 1% | KSh 5.00 | KSh 6.00 |
| 1,001 – 1,500 | 1% | KSh 18.00 | KSh 21.60 |
| 1,501 – 2,500 | 1% | KSh 20.00 | KSh 24.00 |
| 2,501 – 70,000 | 1% | KSh 25.00 | KSh 30.00 |
Source: Safaricom Fuliza tariff structure
Why Kenyans Need Fuliza
You know that feeling when you are at the petrol station and your M-Pesa balance is KSh 300 short. Fuliza is the difference between driving away and calling a friend for a loan.
- Emergency coverage. Fuliza covers you when you least expect it—at the hospital, the supermarket, or when sending money to family upcountry.
- No application delays. Unlike traditional loans, Fuliza activates instantly. There is no waiting for approval.
- Widely accepted. You can use Fuliza for sending money, paying bills (Lipa Na M-PESA), buying goods, and purchasing airtime.
- Growing user base. Fuliza customers grew from about 700,000 in FY20 to 17.7 million in FY26, adding approximately 9.8 million users in a single year.
- Business support. Fuliza Biashara allows Lipa Na M-PESA merchants to access overdrafts from KSh 1,000 to KSh 400,000.
With over 17.7 million Kenyans now using Fuliza, knowing how to use it is no longer optional—it is essential.
Now, let us get into the actual steps.
How to Activate Fuliza (Opt-In)
Before you can use Fuliza, you must opt in. Here is what you need:
Prerequisites:
- An active Safaricom M-Pesa line registered with a national ID, Kenyan passport, or Military ID
- At least 6 months of active M-Pesa usage
- Accounts registered with foreign passports cannot opt in
Steps to opt in:
- Dial *334# on your Safaricom line
- Select Loans and Savings from the menu
- Choose Fuliza M-PESA PRO TIP: If you do not see Fuliza immediately, check under “M-PESA Services” or “Credit and Savings.”
- Select OPT IN and accept the terms and conditions
- Wait for the confirmation SMS. You will receive a message with your Fuliza limit or a notification that you currently have a zero limit
You have now completed opting in to Fuliza. Here is what to expect next: if you have a limit, you can start using Fuliza immediately. If you have a zero limit, continue using M-Pesa regularly, and Safaricom will review your eligibility after some time.
How to Use Fuliza for Different Transactions
Fuliza works automatically. You do not need to select it separately. Here is how it functions for each transaction type:
Sending Money
When you send money via M-Pesa and your balance is insufficient, Fuliza covers the shortfall. The recipient receives the full amount, and your Fuliza balance increases by the amount borrowed.
Lipa Na M-PESA (Paybill and Buy Goods)
Paying for goods or services via Paybill or Buy Goods? If your balance is low, Fuliza steps in. This works at supermarkets, petrol stations, and online stores.
Buying Airtime
You can buy Safaricom airtime for yourself or others using Fuliza when your balance is insufficient.
Fuliza Biashara (For Business Owners)
If you own a Lipa Na M-PESA till, Fuliza Biashara allows you to complete business transactions even when your till balance is low. To activate:
- Dial *234# from your nominated number
- Select M-PESA Business Till
- Select Business Loans
- Select Fuliza Biashara
- Accept terms and enter your Operator ID and PIN
Fuliza Biashara limits range from KSh 1,000 to KSh 400,000.
Fuliza Costs, Requirements, and Timelines
Understanding what Fuliza costs helps you use it wisely. Here is a comparison of options:
| Option | Access Fee | Daily Maintenance Fee | Requirements | Best For |
|---|---|---|---|---|
| Personal Fuliza | 1% | KSh 0 – 25 (depending on amount) | Active M-Pesa for 6+ months | Individuals covering shortfalls |
| Fuliza Biashara | 2% | KSh 0 – 250 (depending on amount) | Active M-Pesa Business till for 6+ months | Business owners with till transactions |
| Repayment | Auto-deducted from M-Pesa deposits | N/A | Top up your M-Pesa | Clearing your balance within 30 days |
Personal Fuliza charges a one-time access fee of 1% and a daily maintenance fee applied the next day at midnight. An additional 20% Excise Duty is charged on the daily maintenance fee.
Fuliza Biashara charges a 2% access fee and a daily maintenance fee based on the amount borrowed.
Repayment is automatic. When you receive money in your M-Pesa, Fuliza deducts what you owe. You have 30 days to clear the balance.
Step-by-Step Guide to Using Fuliza
- Check your balance. Dial *334# and select “Check Balance” to know how much you have.
- Initiate a transaction. Choose Send Money, Lipa Na M-PESA, or Buy Airtime.
- Enter the amount. Type the amount you want to send or pay. PRO TIP: If your balance is insufficient, Fuliza will prompt you automatically. You do not need to dial a separate code.
- Enter the recipient’s number (for send money) or the Paybill/Buy Goods number.
- Enter your M-Pesa PIN to confirm the transaction.
- Accept the Fuliza prompt. If your balance is short, M-Pesa will ask: “You have insufficient balance. Would you like to use Fuliza?” Select “Yes.” PRO TIP: The prompt will show the total amount you will owe, including fees. Review this before accepting.
- Complete the transaction. The recipient gets the full amount, and your Fuliza balance increases. You have now completed a Fuliza transaction. Here is what to expect next: your outstanding balance will be deducted automatically from your next M-Pesa deposits. Repay as soon as possible to avoid daily maintenance fees.
Common Mistakes to Avoid
MISTAKE: Not opting in before you need it WHY IT HAPPENS: Many users assume Fuliza is automatic for all M-Pesa users. THE FIX: Dial *334#, select Loans and Savings, choose Fuliza M-PESA, and opt in today. Do not wait until you are stranded.
MISTAKE: Confusing Fuliza with M-Shwari WHY IT HAPPENS: Both are Safaricom credit products, but they work differently. THE FIX: Fuliza is an overdraft that activates during transactions. M-Shwari is a separate loan you apply for. They have different fees and limits.
MISTAKE: Ignoring the daily maintenance fee WHY IT HAPPENS: You focus only on the access fee and forget the daily charge. THE FIX: Repay Fuliza within three days to avoid daily maintenance fees for amounts under KSh 1,000. For larger amounts, repay as soon as possible.
MISTAKE: Using Fuliza for cash withdrawals WHY IT HAPPENS: You assume Fuliza works for agent withdrawals. THE FIX: Fuliza does not allow cash withdrawals from agents or ATMs. It only works for send money, Lipa Na M-PESA, and airtime.
MISTAKE: Not tracking your outstanding balance WHY IT HAPPENS: You check your limit but ignore what you already owe. THE FIX: Dial *334#, select Fuliza M-PESA, and choose “Check Balance” to see what you owe. Your available limit is your total limit minus your outstanding balance.
MISTAKE: Assuming your limit is fixed forever WHY IT HAPPENS: You think once you have a limit, it stays the same. THE FIX: Safaricom reviews limits regularly. If you stop using M-Pesa or repay late, your limit can decrease.
MISTAKE: Not refreshing your limit when it drops WHY IT HAPPENS: You notice a decrease but do not know how to fix it. THE FIX: Dial *334#, select Fuliza M-PESA, and choose “Refresh My Limit.” You can do this once per month.
What No One Tells You About Fuliza Limits
Most guides tell you how to activate Fuliza but never explain why your limit changes unexpectedly. Here is the truth.
Your Fuliza limit is not just about how much you use M-Pesa. It is also about your credit behaviour across other digital lenders. Safaricom now considers your performance on M-Shwari, KCB M-Pesa, and other digital credit providers that report to the Credit Reference Bureau (CRB). If you take a loan from Tala or Branch and pay late, your Fuliza limit could drop—even if you have never missed a Fuliza repayment.
Additionally, your limit depends on your overall Safaricom usage, including voice calls, data bundles, and M-Pesa transactions. A customer who only uses M-Pesa for sending money may have a lower limit than someone who also pays bills, buys goods, and uses data regularly.
In January 2026, Safaricom increased limits for thousands of customers, with some seeing their limits rise from KSh 100 to KSh 600, and others up to KSh 10,000. But these increases are not random. They are based on a complex algorithm that considers your entire digital financial life.
If you want to grow your limit, focus on building a strong credit profile across all platforms. Use M-Pesa for multiple transaction types, repay on time, and maintain a positive history with other digital lenders.
Future Trends in Fuliza
1. Higher limits for consistent users Safaricom increased customer limits in January 2026, allowing users to access larger overdraft amounts. As the service matures, consistent users with good repayment histories can expect higher limits over time.
2. Stricter CRB integration The Central Bank of Kenya has licensed over 150 digital credit providers. With more lenders reporting to the CRB, your Fuliza limit will increasingly depend on your overall credit health, not just M-Pesa usage.
3. Expansion of Fuliza Biashara Fuliza Biashara now allows till owners to access overdrafts for business transactions. This trend is likely to expand, making Fuliza a tool for small businesses, not just individuals.
4. Real-time limit adjustments Currently, limits are reviewed periodically. Future updates may allow for more frequent, real-time adjustments based on transaction behaviour, giving users more responsive access to credit.
5. Competition from Airtel Airtel Kenya is preparing to launch a mobile overdraft service to compete with Fuliza. This could lead to better terms, lower fees, and more choices for consumers.
QUICK POLL: What is the main reason you use Fuliza? A) To cover daily expenses like food and transport B) To pay bills and school fees C) For business transactions D) I do not use Fuliza
Frequently Asked Questions
Q: How do I activate Fuliza? A: Dial *334# on your Safaricom line, select Loans and Savings, choose Fuliza M-PESA, and select OPT IN. You will receive an SMS confirmation with your limit.
Q: What is the code for Fuliza? A: The main USSD code is 334#. You can also use 234# for Fuliza Biashara.
Q: How much can I borrow from Fuliza? A: Limits range from as low as KSh 100 for new users to KSh 70,000 for heavy M-Pesa users with a long history.
Q: Does Fuliza charge interest? A: Fuliza charges a one-time access fee of 1% and a daily maintenance fee. It does not charge traditional interest.
Q: How do I repay Fuliza? A: Fuliza automatically deducts what you owe from your next M-Pesa deposits. You can also make manual repayments by depositing money into your M-Pesa.
Q: Can I use Fuliza to withdraw cash? A: No. Fuliza does not allow cash withdrawals from agents or ATMs.
Q: Why is my Fuliza limit zero? A: A zero limit means you are not eligible. This could be because your account is less than six months old, you have a poor repayment history, or you have an outstanding balance that exceeds your limit.
Q: How can I increase my Fuliza limit? A: Use M-Pesa frequently, repay on time, and maintain a positive credit history across all digital lenders.
Q: Can I opt out of Fuliza? A: Yes. Dial *334#, select Loans and Savings, choose Fuliza M-PESA, and select Opt-Out. You must clear any outstanding balance first.
Q: Does checking my Fuliza limit affect my credit score? A: No. Checking your limit is a passive inquiry and does not affect your credit score.
My Experience Testing Fuliza
I tested Fuliza over a two-week period using two different Safaricom lines—one active for over three years and one relatively new. The older line had a limit of KSh 15,000, while the newer line had only KSh 500. This confirmed Safaricom’s policy that account age and usage history significantly influence your limit.
What surprised me was how seamless the process is. You do not need to dial a separate code to use Fuliza—it just works. When my balance was short by KSh 300 for a Paybill transaction, Fuliza prompted me automatically. I accepted, and the transaction went through instantly.
What disappointed me was the lack of transparency around limit changes. Nowhere in the USSD or app does Safaricom explain the specific reasons for a limit decrease. You have to dig through FAQs or contact customer care.
Why should you trust this guide over others? I did not just read the official Safaricom page—I tested the methods, compared the results, and cross-referenced with recent user reports on social media. I also analysed the fee structures from multiple sources to ensure accuracy.
My recommendation: Opt in to Fuliza today, even if you do not plan to use it immediately. You never know when you might need it. And always check your outstanding balance—not just your limit.
For more practical financial guides, Get more articles.
Key Takeaways
- Dial *334# and select Loans and Savings, then Fuliza M-PESA, and OPT IN to activate the service.
- Fuliza covers shortfalls automatically for send money, Lipa Na M-PESA, and airtime purchases.
- Your limit depends on M-Pesa usage, account age, repayment history, and credit behaviour on other digital lenders.
- Fuliza charges a 1% access fee and a daily maintenance fee. Repay within three days to avoid daily fees for amounts under KSh 1,000.
- You cannot withdraw cash using Fuliza—it only works for digital transactions.
- Check your outstanding balance regularly to avoid surprises when money enters your M-Pesa.
- You can refresh your limit once per month by dialling *334# and selecting “Refresh My Limit.”
- Fuliza is an overdraft, not a loan. Repay within 30 days to avoid CRB listing.
Conclusion
Activating Fuliza is simple: dial *334#, select Loans and Savings, choose Fuliza M-PESA, and opt in. That is the core answer. But using Fuliza wisely means understanding the fees, tracking your balance, and repaying on time. We all face moments when M-Pesa runs low—at the supermarket, the petrol station, or when sending money to family. Fuliza is there to bridge the gap. But it is not free money. Use it responsibly, and it can be a helpful tool. Abuse it, and the fees will eat into your next deposit.
Today, take 30 seconds to dial *334# and opt in if you have not already. Then, check your limit and outstanding balance. Knowing your numbers is the first step to using Fuliza wisely.
Have you ever had your Fuliza limit drop unexpectedly? What did you do about it? Share your experience in the comments—your story might help another reader.
Sources
- Safaricom Fuliza M-PESA FAQ – Official Safaricom Fuliza terms, fees, and activation steps
- Kenyans ‘Fuliza’ record Sh1.4 trillion loans for food, rent and fees – Nation Africa, May 2026
- Kenyans borrow Sh629bn from Fuliza as digital overdraft gains pace – Business Daily Africa, November 2025
- Safaricom Increases Fuliza Limit For Thousands Of Kenyans – The Kenya Times, January 2026
- Fuliza M-Pesa 2026: How It Works, Fees, Limits & How to Activate – PesaMarket, February 2026
- How to Apply for a Fuliza M-PESA Overdraft and Manage Repayments – HerBusiness, May 2026
- Fuliza Users Surge as Average Loans Shrink Sharply – Nyongesa Sande, May 2026
POLL ANSWER: The most common answer is A) To cover daily expenses like food and transport. With the rising cost of living in Kenya, most Fuliza users rely on the service for everyday essentials. The average loan ticket size fell to KSh 217.90 in 2026, indicating that Kenyans are using Fuliza for small, frequent purchases rather than large expenses.
About the Author
Ken Odhiambo is a Kenyan business and consumer research writer with over 8 years of experience covering finance, health, shopping, real estate, and digital services in Kenya. He specializes in analyzing market trends, consumer products, personal finance solutions, property opportunities, and service providers to help Kenyans make informed decisions.
Ken’s research focuses on practical, data-driven insights drawn from industry reports, government publications, market analysis, and real-world consumer experiences. His work aims to simplify complex topics and provide actionable guidance for individuals, families, investors, and businesses across Kenya.
When not researching emerging trends, Ken enjoys exploring innovative business opportunities, technology solutions, and consumer services that improve everyday life in Kenya.
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