HELB Warns Employers Over Monthly Loan Deductions

The reminder applies to employers whose employees are repaying loans obtained through HELB to finance their higher education.

HELB’s employer guidelines outline three main responsibilities: disclosing the employment of loan beneficiaries, deducting the prescribed monthly repayments from their salaries, and remitting the collected funds to the board.

According to HELB’s official “Employer Portal guidelines” (https://www.helb.co.ke/online-services/employer-portal/), employers must remit deductions by the 15th day of the month following the deduction. The portal also enables employers to access employees’ outstanding loan balances and applicable monthly repayment rates.

The board’s reminder comes with financial consequences for employers who fail to fulfil their obligations. Kenyans.co.ke reported that delayed or unremitted deductions may attract penalties, including a charge based on the outstanding amount for each month the money remains unpaid.

Failure to remit deducted funds can also leave employees’ loan accounts showing outstanding balances, even where the amounts have already been taken from their salaries.

HELB therefore urged employers to ensure accurate declarations and timely payments to keep borrowers’ accounts in good standing.

The board’s message reinforces the distinction between deducting loan repayments from employees’ wages and ensuring the money reaches HELB within the required period.

Employers can consult the official HELB Employer Portal for individual repayment rates, submission procedures and remittance requirements. Source https://www.facebook.com/share/p/1DXW6g2nAn/