In 2019, I was tensed because I was about to lose my job, the firm had declared us redundant and we were to leave in four months’ time.
So, the best thing I did was to apply for a credit facility from the bank so as to do a little activity at least to compensate and act as the trophy for years worked.
I approached Equity Bank, opened an account and later came back and applied for a loan.
Two days later, they called me and asked me to clear with the Credit Reference Bureau (CRB).
When I checked the CRB report which I sourced from Metropol, I saw it was KCB which had listed me, I saw the same with Trans Union.
When I Inquired with KCB if I had any unpaid loans with them, they replied in the negative, but the statement from CRB showed I owed them about Sh7000 in KCB MPESA loan.
I had taken a loan from them but paid it, and I didn’t understand why I was listed.
One is listed on CRB after three months of non-payment of a loan, not the first, not the second month, after three months. KCB didn’t adhere to this rule of law. They are still not following the law. – banking expert
Though KCB bank cleared me, my research around showed that it was a common occurrence for them to do this and for people who don’t know, they end up getting denied loans for a KCB ‘system mistake’.
A ‘system mistake’ is the word the KCB guy used when referring to my situation.
KCB made it hard for me to get a loan from Equity Bank early. But the matter was resolved and I received a loan a month later.
Something that should have taken 5 days took 32 days.
Documents seen by umojanews.com confirm the above.
System glitch
When KCB MPESA started it used a USSD format for dispensing and paying loans. That system had a lot of glitches that made KCB charge interests on loans that would otherwise be paid early.
For example, if one would be in a low network area, the system would fail and it would still charge one for trying to access it, and woe unto you if that was the day of the deadline to pay the loan.
Glad that KCB learnt their lesson and embedded the KCB MPESA loan on Safaricom STK. Before this, KCB was running a rip-off campaign and they know it.
However, sad that the system glitches of listing anyone on CRB a month before the date required by law (which is three months of non-payment, I often delayed only one month, leaving me with two) still persists.
Even sadder that KCB is not among the over 330 loan firms blacklisted by Central Bank of Kenya (CBK) from listing Kenyans on CRB.
