Back-to-school season is here, and for many Kenyan parents, this new term brings a familiar kind of anxiety for expenses like school fees, stationery, shopping, pocket money and transport costs. For households already navigating the country’s challenging financial environment, the pressure can be overwhelming.

Kenya’s cost of living has skyrocketed over the years, forcing parents to tighten their budgets. According to the 2023-2024 Kenya Housing Survey conducted by the Kenya National Bureau of Statistics, 70.89 per cent of Kenyan households spend most of their money on rent, food, and transport, noting that they barely have enough to cater for other necessities like school fees.

Most parents find themselves trapped in this cycle during back-to-school seasons, trying to salvage the little they can for their children’s school fees and necessities, with some borrowing from friends or even negotiating with schools over return dates. Acquiring credit has become a credible solution, offering a way out of the stress that comes with back-to-school finances.

Absa Bank Kenya Digi Loan is a solution to parents to the challenge of financing their children’s education. Digi Loan offers convenience, allowing parents to access it in the comfort of their homes via the Absa app or mobile phones by dialling *224#.

Lengthy processes

The unsecured loan product does away with the lengthy processes of submitting physical financial documents. Loan amounts and repayment timelines vary depending on the customer’s account history and pre-approved limit.

Parents outside formal employment are eligible to apply for the digital credit service, underscoring the product’s inclusivity. Whether a small business owner or freelancer, eligibility is determined by how actively a customer uses their Absa account rather than whether they earn a fixed salary.

It is worth noting that the Absa Digi Loan does not resolve the high cost of living a parent faces, however, it helps them access money easily during financial constraints. Parents can avoid the informal way of borrowing, which comes at higher costs and unpredictability, and can instead access Digi Loan and have the means to repay within a manageable period, providing leeway at a moment when they are facing financial difficulty.

As the school term begins, the demand for accessible and flexible credit is much needed during school seasons. For the millions of Kenyan parents who will spend the coming weeks weighing school fees and shopping against groceries and rent, any solution that offers structure and breathing room, such as the Digi Loan is worth considering.

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