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I was telling someone that at some point the CRB will become useless, because up to 70% (citation needed) of Kenyans will be listed there.
CRb charges 2,500 to clear your name after clearing your loan and we have ways around it . as an official i can make a fake crb report and the loan will go through
I never like sharing personal details online to private institutions where the possibility of your personal info landing in the wrong hands is very high.
That alone makes me not subscribe to such apps.
I tend to think that they are a necessary evil,problem is when people take the said loans with no idea on how to repay it and for frivolous matters such as ‘going out’ etc
I know one of those smaller loan apps is making a b a year.
The SKS Finance example is better compared to how Faulu Kenya operates here however.
Alafu although what they are doing is legal, sioni tofauti ya hii na betting when it comes to money leaving the country from Kenyan youth( who need it the most) to a few companies based outside.
Watu wa economics mnaiita capital flight? Hiyo.
Credit is always dependent on the risk. High risk, high interest. With idiots like @uwesmake you will never get cheap loans.
First world are around with sub 5% p.a. mortgage rates na line of credit ni kitu 9%.How do you expect you guys to get same privileges?
hapo umeongea ukweli broo juu hata mimi wakati m-shwari ikitoka nilikua jobless na wakanipea 6k na sijazilipa mpaka sai siez pata mkopo popote ya kuendeleza biashara niko nayo sai
the problem is, with this apps let say you get a salary or 10k and hizi lending apps cumulatively give you 20k loan limit at the end of the month you wont base your budget at 10k which you earn but instead you will budget on the 30k hapo ndio shida sasa huanza
niko na loan ya tala ya 15,000 kutoka last year march hata sijui nitalipa interest ya pesa ngapi saa hii, walinipigia hadi waka choka
Sisi watu wa temporary overdraft tuketi wapi?
Faulu ni shylock
Lipa deni brathe hio ni haram
lakini hii wizi haija anza juzi
kugongana hii kenya ndio order of the day
I see nothing immoral with this.
Btw niko na loan ya Branch na its late. Nikilipa will I get another loan? Alafu will my loan limit be increased?
Si tuongee kando nijitoe kwa blacklist brathee
My mobile loans portfolio based on 1 month borrowing. The apps came through for me last year when had an urgent biz to fund. Did not default on any of them and all are now paid. Now they are just a good option if I need urgent funding in the future.[ATTACH=full]169709[/ATTACH]
The Apps are providing a financial service, one question to ask, are they regulated?
Is there regulatory scrutiny, or any Consumer Financial Protection; are there loop holes to online loans.
As with India, we can expect long-term problems, debt management problems which will impact families and the economy. about 3 yrs ago European countries intervened when “payday loan sharks” began to impact thousands of families, many of the digital lenders closed shop. Let’s hope there is no relocation, to unregulated fertile grounds.
Here is a tragic story of American Native American tribes…
In the USA “rent-a-bank” model had been popular among online payday lenders since at least the late 1990s. But by 2010, various federal regulators had all but shut down the arrangement. Rees needed a new way to keep his business alive………the Reservation Indians… https://www.huffingtonpost.co.uk/entry/online-payday-lenders-reservations_n_7625006
This issue was covered on this series, Dirty Money - Payday
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