Sharp Daily
No Result
View All Result
Wednesday, June 18, 2025
  • Home
  • News
    • Politics
  • Business
    • Banking
  • Investments
  • Technology
  • Startups
  • Real Estate
  • Features
  • Appointments
  • About Us
    • Meet The Team
Sharp Daily
  • Home
  • News
    • Politics
  • Business
    • Banking
  • Investments
  • Technology
  • Startups
  • Real Estate
  • Features
  • Appointments
  • About Us
    • Meet The Team
No Result
View All Result
Sharp Daily
No Result
View All Result
Home Investments

CBK Regulations Spell Doom For Digital Lenders

Editor SharpDaily by Editor SharpDaily
March 22, 2022
in Investments, News
Reading Time: 2 mins read
Digital Lenders

[Photo/ Courtesy]

The Central Bank of Kenya (CBK) has gazetted new rules for digital lenders, that will see the entities operate under its mercy as from September 17, 2022.

The rules will see the digital lenders barred from accessing the customer’s phone book or contacts list and other phone records, which they use to coerce defaulters to pay their loans.

The Digital Credit Providers regulations, 2022 will require all digital lenders to apply for licences from the banking regulator before September.

“The Regulations are now operational, all previously unregulated DCPs are required to apply to CBK for a license within six months of the publication of the Regulations, i.e., by September 17, 2022, or cease operations,” CBK said on Monday.

RELATEDPOSTS

CBK lifts 10-year moratorium on new bank licenses

April 17, 2025

How the Kenyan government makes money by printing money

February 18, 2025

Read: Ugandans Happier Than Kenyans – Report

The Digital Credit Providers (DCPs) will also not be allowed to submit negative credit information of a customer or any other person to a Credit Reference Bureau where the outstanding amount relating to the credit information does not exceed Ksh1,000.

“The regulations provide for inter alia the licensing, governance, and lending practices of DCPs. They also provide for consumer protection, credit information sharing, and outline the Anti-Money Laundering and Combating the Financing of Terrorism (AML/CFT) obligations of DCPs,” said CBK Governor Dr Patrick Njoroge.

Read: Safaricom Eyes More Through Tech Solutions For Enterprises

A DCP shall not invite or collect deposits in any form, including the taking of cash collateral as security for loans.

They have been barred from using threats, violence or other means to harm the debtors, their reputation or property if they do not settle their loans.

The lenders will from September apply to CBK for approval of interest rates on their loans.

Read: Absa Bank Kenya Record Ksh10.9 Bn Profit, Pays Ksh6 Bn In Dividends

Previous Post

Ugandans Happier Than Kenyans – Report

Next Post

KEPHIS Boosts Avocado Growers Eyeing The Chinese Market

Editor SharpDaily

Editor SharpDaily

The latest in business, real estate, education, investments, tech and entrepreneurship, brought to you daily. Reach us through thesharpdaily@gmail.com

Related Posts

Analysis

Your First Investment should be an emergency fund with Cytonn Money Market Fund

June 16, 2025
Investments

Contrarian investing in Kenya.

June 13, 2025
Investments

Policies shaping Kenya-Tanzania energy collaboration

June 10, 2025
Investments

Navigating inflation and currency risks in African investments

June 10, 2025
Investments

A guide to investing in Africa

June 10, 2025
Investments

Decoding stock-based compensation

June 4, 2025

LATEST STORIES

The invisible tax: How poor financial literacy is costing Kenyan’s millions

June 17, 2025

Kenya’s tech startups, fueling a new era of digital wealth

June 16, 2025

Kenya’s youth-led entrepreneurship: A pathway to inclusive growth

June 16, 2025

Your First Investment should be an emergency fund with Cytonn Money Market Fund

June 16, 2025

Opinion: Flashy handouts not empowerment, we need real solutions.

June 16, 2025

Opinion: Our monetary gains must be matched with fiscal reforms

June 16, 2025

OPINION: Human rights must be at the top of Bottom up economic model

June 16, 2025

Opinion: Austerity wrong medicine for Kenya’s economy.

June 16, 2025
  • About Us
  • Meet The Team
  • Careers
  • Privacy Policy
  • Terms and Conditions
Email us: editor@thesharpdaily.com

Sharp Daily © 2024

No Result
View All Result
  • Home
  • News
    • Politics
  • Business
    • Banking
  • Investments
  • Technology
  • Startups
  • Real Estate
  • Features
  • Appointments
  • About Us
    • Meet The Team

Sharp Daily © 2024