Types of Loans in Kenya
Compare loan options available to Kenyan borrowers
Mobile Loans
CBKLoans via M-Pesa, Tala, Branch, and other mobile platforms. automated processing subject to verification, no collateral needed. CRB check may apply.
✅ Pros
- • automated via M-Pesa
- • No documents needed
- • Available 24/7
⚠️ Cons
- • Very high APR
- • Small amounts
- • CRB reporting
Personal Loans
CBKUnsecured loans from commercial banks. Competitive rates for salaried employees with good CRB scores.
✅ Pros
- • Lower rates
- • Larger amounts
- • Credit building
⚠️ Cons
- • Income proof required
- • CRB check
- • Slower application assessment
SACCO Loans
SASRAMember-owned cooperative loans. Typically 3x your savings balance. Very competitive rates through check-off system.
✅ Pros
- • Lowest rates
- • Check-off repayment
- • Member-owned
⚠️ Cons
- • Must be member
- • Savings required
- • Limited amounts
Logbook Loans
CBKLoans secured by your vehicle registration (logbook). Keep driving while repaying. Risk: vehicle repossession on default.
✅ Pros
- • Keep your vehicle
- • Larger amounts
- • Quick application assessment
⚠️ Cons
- • Vehicle at risk
- • Higher rates
- • Depreciation
FAQ
Which mobile loan app is cheapest in Kenya?
M-Shwari and KCB M-Pesa typically offer the lowest fees for mobile loans. Compare the total cost including all fees — not just the advertised rate. Check that the app is licensed by CBK.
How can I improve my CRB score?
Pay all loans on time, start with small mobile loans and repay promptly, avoid multiple loan applications, and check your free annual CRB report for errors.