SMART MONEY

Mwananchi Relaxes Terms For Logbook Loans To Broaden Credit Access

Share
logbook loans in Kenya
Mwananchi Credit utilizes an innovative future-earning capacity credit scoring model that qualifies applicants based on their future plans and ability to repay. [ PHOTO / Howto.co.ke ]
Share

Logbook loans: In an unprecedented move, Mwananchi Credit Ltd has relaxed specific terms to broaden the scope of those who qualify for credit under its logbook loans. Logbook loan applicants will no longer be required to present bank statements for previously six months and three-month M-Pesa statements.

“We have noticed that a majority of those who seek loans  from us run informal businesses that operate on cash basis and barely service their bank accounts regularly,” Mr Dennis Mombo, Mwananchi Credit CEO, said when he made the announcement.

Many of these businesspeople, Mr Mombo said, manage to save enough to purchase assets like cars. “Whenever they are stuck, they would wish to leverage their assets and access a quick logbook loan,” he said.

Besides broadening the credit access bracket, this new move to relax terms will also reduce bureaucracy and shorten the turnaround time of credit provision by cutting down unnecessary paperwork. This will thus positively affect even those who run formal businesses and already have these statements.

Mwananchi Logbook Loans model lending utilizes an innovative future-earning capacity credit scoring model that qualifies applicants based on their future plans and ability to repay rather than their past financial history.

The micro-finance institution has been previously awarded Best Logbook Provider in Kenya for its innovative approach to lending.

Mwananchi Credit Limited is one of Kenya’s leading non-deposit taking micro-finance lending institution based in Kenya. It is 100% Kenyan owned and currently has eight branches across the country.

Written by
BT Correspondent -

editor [at] businesstoday.co.ke

Leave a comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Follow Us

Related Articles
The Best: How Fixed Income Funds Work in Kenya
MARKETSSMART MONEY

The Best: How Fixed Income Funds Work in Kenya

For a long time many times, a lot of would-be and junior...

Banks offering Unsecured Loans in Kenya
SMART MONEY

At Co-operative Bank, a Payslip Can Secure Up To Ksh9 Million Personal Loan

In its latest Nika Slip Tu campaign, Cooperative Bank has opened credit...

CIC Asset Management
BUSINESSSMART MONEY

CIC Asset Management Upgrades Investment Tools to Include Real Time Withdrawals

CIC Asset Management (CICAM), a subsidiary of CIC Group, has launched an...

Co-operative Bank of Kenya is turning the payslip into an array of opportunities for salaried Kenyans to access financing for various purposes. (Photo: newsline.co.ke)
SMART MONEY

Power of the Payslip in Attracting Unsecured Loans

Co-operative Bank of Kenya is turning the payslip into an array of...