How to choose a bank in kenya

    August 24, 2016  

In Kenya, the banks' national regulator ,Central Bank of Kenya(CBK) already licensed over 40 financial institutions to provide banking and lending services to the over 40 million Kenyans nationwide.

This number of lenders plus each kenyan's needs leads to this topic 'how to choose a bank in Kenya' .What makes an individual to step into one bank to open an account with and leave the other banks around?

Choose a bank in kenya

There might be many factors that can influence your choice of the financial institution to bank with,but as Loans Kenya we have come up with the crucial six checklist factors to help stranded Kenyans in making quick decisions regarding which banks to choose as financial partners.Note:The law allows one to have more than one bank as their financial partners.

1. Customer Location 

It's good to open a bank account at a bank outlet near your permanent residence. The lender branch where you opened an account will be your primary source of information regarding your account.Though you'll be able to do some transactions from other locations, official communication will always come from the branch you first opened your account. You'll be forced to travel to renew and pick credit cards among other things.

Tip; Its advisable not to open new accounts while leaving in an area temporarily for example in school/college/university or or a temporary job transfer.

2. Branch Network 

The best bank to bank with is the one with a widespread branch network.This will allow the account holders to access quick banking services in any place they are located in Kenya.

3. Charges 

All banks collect some charges against some of the transactions account holders perform. The charges may be maintenance fees or service fees.Banks charging the least are the best choice. For example ; One bank may charge kes20 for an ATM cash withdrawal action while another bank will charge kes30 for the same transaction.

4. Products 

The banking and lending services provided by the bank might be the reason for one to open an account with the concerned financial institution. For example some banks provide overdraft services while others do not.Other lenders give cheap loans while others don't.

5. Flexibility 

The right bank should be the one that give tailor made services to each customer and avoid rigidity.A bank that embraces the use of technology in banking to ensure efficiency in service delivery should be considered the right banks.

6. Security 

No one wants to find an empty bank account at a time when he's or she's never withdrew any cash previously.No one wants to bank with a collapsing commercial bank.A good bank should provide secure platforms where customers transact safely.

For a Kenyan still trying to figure out where to start on choosing a bank to save money with,this can serve as a checklist.
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Mwabaya Katana

Posted By Mwabaya Katana

Mwabaya Katana is a Personal Finance online writer.He is the founder of 'Loans Kenya' Blog.

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