7 Best Places To Borrow Money Quick in Kenya


Kenyan Banknotes

Where can I get loans in Kenya? Where can I borrow money fast in Kenya?Which are the right places to borrow cash quick? Which places are the best to get credit from?

It is a normal thing to need extra cash to make ends meet for instance ,start a business or simply improve a business, build a home or pay for emergencies like hospital bills.

But where can one get loans in Kenya? And why are some of the places best while others the worse when taking loans? Eager to know? Continue reading below.

What Makes a loan expensive 

A loan attract some fees, the main fee being the interest rate. Lenders who charge high interest rates are expensive. 

There are other fees imposed on loans borrowers' are taking for example processing fees, legal fees ,insurance cover ,excise duty among others. Lenders who charge these in addition to the interest rate are expensive too.

Read ; Most Expensive and Cheapest (Lenders) Banks in Kenya 

In this regard, lenders who charge low interest rate with no extra charges imposed on the borrower are the best (cheapest).

Now, which places (class of lenders) can be the best (cheap and fast in disbursing loans)?

In Kenya there are about 7 places where a customer can get loans. In this list,I've shared my observations ;

1. Sacco (Chama,Credit Unions)

A loan from your chama is cheap. Here the interest rate is always low. Some Cooperative Societies can be slow in disbursement but not all.

Saccos only allow members to take loans. If you're not among them , you're out. Also sometimes you might need a guarantor to get credit. 

Example of Saccos in Kenya; 

  • Kenya Police Sacco 
  • Stima Sacco 
  • Waumini Sacco
  • Unaitas
  • Imarika Sacco 

2. Pawn Shop Loans ( Loans Against Items, Electronics)

If you have any items for example electronics, household furniture etc ,you can get a loan instantly from a pawn shop ( also known as shylock in Kenya).

Shylocks never check your CRB status. 

The problem with pawn shop loans is that they charge high interest rates while the repayment duration is short mostly one month (30 days). There's a risk of loosing your commodities. 

Examples of pawn shops include Fairdeals for Cash and Instant Loan on items Nairobi. 

Check Pawn Shop lenders 

3 .Online Lenders ( loan apps ,websites)

Getting a loan from an online lender for example  a loan app is fast. No paperwork, no office visits.

The problem is that the interest rate is high. Some online lenders charge extra charges for example registration fees which makes the loans expensive. 

Examples of loan apps in Kenya include; 

  • Zenka 
  • Timiza 
  • Okash
  • Tala
  • HF Whizz 
  • Opesa
  • Credit Hela
  • KashWay 
  • Branch International 

Check Loan Apps 

4. Credit-Only Microfinance Institutions 

These lenders are popular with logbook loans and Salary Advance loans.

Credit-Only companies provide loans fast too probably within 24hrs but the interest rates charged are high. Most include extra charges on top of the interest rate. 

Examples of Credit-Only companies ( Non-deposit taking microfinance institutions) include; 

  • Mwananchi Credit 
  • Progressive Credit 
  • Bidii Credit 
  • Platinum Credit 
  • Real People 
  • Premier Credit 
  • Ngao Credit 
  • Jijenge Credit 

Check Credit-Only companies 

5. Family and Friends 

Maybe the safest way to get loans, but it's rare in African countries including Kenya. You both agree on the interest rate. In most cases the rate here is nil (zero).

The funny thing however with family/friends loans have high default rates. In this case, borrowers don't get serious about the agreement. This can lead to family chaos and friendship breakups. 

6. Credit Card Loans

Credit card loans attract a high interest rate just like salary advances. Most lenders introduce other charges on top of the interest rate, 

It's not a very common way of borrowing in Kenya anyway. 

7. Commercial Bank Loans

There's always money available to lend with banks. That's our belief and maybe its true. 

However, big banks and all regulated microfinance banks follow alot of protocols before approving a loan. This maybe due to the close monitoring by the regulator ( Central Bank of Kenya, CBK).

These lenders will check CRB Status, charge interest rates, include all other fees and then take time to make the final decision in approving loans.

Banks are expensive due to the many charges attached to borrowed facility. This group of lenders is also selective due to the stricter regulations and fear to risk. Chances are high in getting disapproved for a loan at a bank than any other lender. 

Some examples of Commercial Banks and Microfinance Banks in Kenya include; 

  • KCB
  • DTB
  • Faulu MFB
  • Choice MFB 
  • Cooperative Bank 
  • Equity Bank
  • SBM Bank 
  • NCBA Bank 
  • Absa Bank 
  • Stanchart 
  • Stanbic Bank 
  • National Bank 
  • Kingdom Bank 




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