🎓 Complete Guide to HELB Loans & Scholarships Under the New Funding Model (2024/2025)

The Government of Kenya, through the Higher Education Loans Board (HELB) and the University Fund (UF), has implemented a New Funding Model (NFM) to ensure that every student admitted to a university or TVET institution under government sponsorship can access financial support. The model combines loans, scholarships, and household contributions, all determined scientifically through a tool called the Means Testing Instrument (MTI).

In this guide, we explain how HELB loans and scholarships are processed, how students are placed into funding bands, and why some students receive more than others

📝 Step 1: Online Application via HEF Portal

Every applicant must apply through the official Higher Education Financing (HEF) Portal. This platform allows students to apply for:

Government scholarships (from the University Fund)

HELB loans (upkeep + tuition)

TVET student grants (if applicable)

🔹 What You Need to Apply:

National ID or birth certificate

KCSE index number and year

Parent/guardian ID and contact

Admission letter from a recognized institution

Supporting documents:

Death certificates (if orphaned)

Single parent clarification 

📄 Source: HEF Application Guide (PDF)

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🧾 Step 2: Data Verification

Once submitted, your data is reviewed and verified using integrated databases such as:

KRA (Kenya Revenue Authority)

NHIF (National Health Insurance Fund)

NEMIS (National Education Management Information System)

Huduma and other civil registration systems

This step ensures all documentation and claims (like income level or orphan status) are valid and accurate.

📄 Source: HELB FAQ Guide (PDF)

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📊 Step 3: Assessment Using MTI (Means Testing Instrument)

At the heart of the funding model is the Means Testing Instrument (MTI) — a scientific scoring tool developed to assess each student’s level of financial need.

✅ What MTI Evaluates:

Category Examples

Household income Payslips, business affidavits, informal income sources

Parent/guardian education & job Reflects economic status

Siblings/dependents in school Shows household burden

School type attended (Day, national, extra-county, private)

Disability or orphan status Students in these categories score higher in need

County or ward of origin Marginalized areas score higher

Gender Female students may receive affirmative consideration

Type of degree program STEM & priority courses may influence placement

Each of these factors is assigned a weight and combined to generate a score that places students into funding bands.

📄 Source: KAFU New Funding Model PDF

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🧮 Step 4: Placement into Funding Bands (1–5)

Based on the MTI score, students are automatically placed into one of five funding bands. Each band determines how much scholarship, loan, and household contribution a student receives.

📊 Funding Band Breakdown (University Level)

Band Monthly Household Income Scholarship % (UF) Loan % (HELB) Household Pays Upkeep (Ksh)

Band 1 ≤ Ksh 5,995 70% 25% 5% 60,000

Band 2 5,996 – 23,670 60% 30% 10% 55,000

Band 3 23,671 – 70,000 50% 30% 20% 50,000

Band 4 70,001 – 120,000 40% 30% 30% 40,000–45,000

Band 5 Above 120,000 30% 30% 40% —

📰 Sources:

The Star Kenya

Tuko.co.ke - Funding Bands Explained

📢 Step 5: Award Notification

Once band placement is complete, students receive a notification via:

SMS

HEF Portal dashboard

It includes a breakdown of:

Tuition loan to the university

Upkeep loan to the student

Scholarship to the university

Family contribution expectation

Your university also gets notified of the funding breakdown per student.

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💰 Step 6: Disbursement of Funds

Funds are disbursed as follows:

Loan (tuition) – sent directly to your institution

Loan (upkeep) – sent to your personal bank/M-PESA account

Scholarship – paid by the University Fund to your institution

Ensure your profile is fully updated and verified to avoid delays.

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🆘 Step 7: Appeal Process (If You Disagree with Your Band)

If you feel your assigned funding band does not reflect your true financial need, you can appeal through the HEF Portal.

⚠️ Valid Grounds for Appeal:

Wrong income reported

Orphan/disability status not captured

Sudden illness or death in the family

Displacement or poverty due to conflict, floods, etc.

Be sure to upload updated supporting documents (chief’s letter, medical records, affidavits).

📄 Source: HEF Appeal Guidelines

📰 Kenya Times – Appeal Considerations

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✅ Summary: The Full Journey

Stage What Happens

Apply Submit your info via HEF Portal

Verified Data matched against KRA/NHIF/NEMIS/Huduma

Assessed MTI scores you based on household need

Placed in a Band Band 1 (most needy) → Band 5 (least needy)

Notified You receive loan/scholarship breakdown via SMS or portal

Disbursement Tuition sent to university, upkeep to student account

Appeal (if needed) Use HEF portal with additional evidence to request reassessment

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👩‍🎓 Who Benefits Most?

Orphaned students

Students with unemployed/sick guardians

Learners from marginalized counties or informal settlements

Students in Band 1 and 2 often receive 90–95% of total fees covered

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📌 Final Word

The New Funding Model ensures equity and access to higher education in Kenya. But the key to getting maximum support is:

Accurate application

Valid supporting documents

Updated profile and bank info

Timely appeal when needed