How to Opt Out of Fuliza M-PESA 2024

In the world of mobile money, Fuliza M-PESA has become a household name, offering a lifeline to many when faced with financial shortcomings. This service, provided by Safaricom, allows M-PESA users to complete transactions even when they have insufficient funds. However, like any other financial service, it's crucial to understand how to manage it effectively to avoid falling into a cycle of debt. In some cases, this may involve opting out of the service altogether. But how exactly do you do that? This article will provide a comprehensive guide on opting out of Fuliza M-PESA in 2024. Whether you want to increase your credit limit or stop borrowing, this guide is for you. Let's dive right in!

Why You May Want to Opt-Out of Fuliza

You could want to opt out of Fuliza M-PESA for many reasons. Let's explore the two major ones:

1. Get A Higher Limit

One common reason why most Fuliza users opt-out is to increase their Fuliza loan limit. Your loan limit could be improved by opting out and then opting back in. It's essential to note that this is not a guaranteed outcome and varies from user to user. While some users have reported a limit increase, others have not been so lucky. Their limit remains the same; in some cases, it could even be reduced.

However, it's crucial to remember that the higher the Fuliza limit, the more likely you are to borrow. The more you borrow, the bigger the debt. Therefore, you might pay more daily charges, excise duty, and transaction costs. That's why it's advisable to consider this option carefully and ensure it's the right decision for your financial health.

2. Stop borrowing

The second reason why you may opt out of Fuliza M-PESA is because you want to stop borrowing. This could be due to the accumulation of hefty charges that accrue daily. If you are in a cycle of constant borrowing and repaying, opting out could provide you with the financial relief you need. However, before saying goodbye to Fuliza, clear any existing debt. This is because you can't opt out with an unpaid Fuliza loan.

Understanding the reasons behind opting out of Fuliza can help you make a more informed decision. 

Step-by-Step Guide on How to Opt Out of Fuliza

Now that you've understood why you opt out of Fuliza let's delve into how you can do it. You can use two main methods to opt out of Fuliza: a USSD code and the M-PESA app.

1. Opting Out via USSD *234#

Here are the steps to follow if you want to opt out of Fuliza via USSD:

1. Dial *234# from your phone.
2. Select option 0 for Fuliza M-PESA.
3. Select option 98 to move to the next list.
4. Finally, select option 7 to opt out of Fuliza.
5. Confirm your decision to opt-out.

Once you complete these steps, you will receive an M-PESA confirmation that you have opted out of Fuliza.

2. Opting Out via the M-PESA App

You can also opt out of Fuliza through the M-PESA app. Here's how to do it:

1. Open the M-PESA app on your device.
2. Navigate to the transaction section.
3. Select Fuliza at the bottom of the interface.
4. Once the Fuliza dashboard opens, select the three horizontal dots.
5. Select Opt out of Fuliza.
6. Confirm your decision to opt-out.

Like the USSD method, you will receive an SMS from M-PESA confirming that you have successfully opted out of Fuliza.

Opting out of Fuliza is straightforward, regardless of your chosen method. However, remember that you can only opt out after clearing any outstanding debt.

Consequences of Opting Out of Fuliza

While opting out of Fuliza might seem like a quick solution to halt borrowing, it's essential to understand the potential consequences of this decision. Let's discuss what could happen when you opt out of Fuliza.

1. Impact on Your Fuliza Limit

The first potential consequence of opting out of Fuliza is the impact on your borrowing limit. Your Fuliza limit could change, either increasing or decreasing, once you opt out and then opt back in. This change is not guaranteed and varies from one user to another. Some users might experience a decrease in their limit, others an increase, while the limit might remain the same for some.

2. Changes to Your Credit Score

Opting out of Fuliza could also have an impact on your credit score. Once you opt-out, Fuliza does not consider your day-to-day M-PESA transactions, which could affect your credit rating. However, you can still boost your credit score using Safaricom-related services such as MSHWARI, KCB MPESA, OKOA JAHAZI, Lipa Na MPESA, etc.

3. You Can't Opt Out with an Unpaid Loan

One crucial fact is that you can't opt out of Fuliza with an outstanding loan. According to Fuliza's terms and conditions, you must clear any existing debt before opting out. Please do this to avoid your name being listed on the Credit Reference Bureau (CRB), which can limit your access to Fuliza and other loans in the future. Therefore, repaying any Fuliza loans is highly recommended before opting out.

Can I Still Access Other M-PESA Services After Opting Out of Fuliza?

If you consider opting out of Fuliza, you may wonder if you can still access other M-PESA services. The answer is yes. You can still access other M-PESA services after opting out of Fuliza.

Here are some of the M-PESA services that you will still be able to access after opting out of Fuliza:

• Sending and receiving money
• Paying bills
• Buying goods and services
• Transferring money to other banks
• Cashing out money
• Loading airtime
• Buying insurance
• Investing in shares

However, there are a few things to keep in mind after opting out of Fuliza:

• You will no longer be able to use Fuliza to borrow money.
• If you have any outstanding Fuliza loans, you will need to repay them in full.
• You may not be able to access some of the more advanced features of M-PESA, such as the ability to borrow money from other M-PESA users.

READ ALSO: Fuliza Mpesa: How To Register, Withdraw And Opt Out Of Fuliza

Conclusion

Opting out of Fuliza M-PESA might sound like a complex process. Still, with the correct information and guidance, it does not have to be. Remember, your financial freedom is a journey; every step you take towards it counts!