This Is Why Ksh500 Is Deducted From Your HELB Allocation

A growing concern among HELB beneficiaries especially first time applicants, involves the issue of Ksh500 being deducted from allocated amounts whereby an allocated amount refers to the amount awarded after processing of the application form.

This amount is usually awarded during the HELB disbursement stage known as the ‘Allocated’ stage based on approved Means Testing Instrument (MTI) which is a scientific technique used to identify an applicant’s level of need i.e (vulnerable/extremely needy/needy/less needy)

As such, allocated amounts are usually channeled towards tuition fee/upkeep fee or both depending on the applicant’s category type i.e government sponsored/self sponsored.

For instance, government sponsored applicants placed in universities (private/public) or TVET institutions by KUCCPS, attract different amounts being channeled to either upkeep or tuition.

Government sponsored undergraduates attract a standard amount of Ksh4,000 per semester being directed towards tuition fee disbursed directly to the university’s bank account while the rest is deposited as upkeep fee to the applicant’s bank account.

On the other hand, TVET loan applicants attract a standard amount of Ksh26,400 disbursed to the TVET institution while the balance is diverted to the applicant’s bank account as upkeep for the TVET loan.

As for self sponsored applicants admitted to public/private universities in both Kenya or EAC by the Commission for University Education (CUE), the allocated amount is disbursed entirely to the institution’s account.

However, before the allocated funds can be accessed by either the institution/applicant, the application needs to progress from the allocated stage then complete the disbursed and paid to account processes respectively.

Unfortunately, there are instances whereby applicants may experience prolonged stagnation at the allocated stage without batch number thereby delaying disbursement.

Going back to the issue of Ksh500 deduction, this is usually an administration fee charged annually for both government sponsored and self sponsored.