Loan types
Loan Types in Kenya
Kenyan borrowers can access credit through mobile apps, banks, SACCOs, microfinance institutions, employers, chamas, government-linked funds, and asset-finance providers. The best option depends on purpose, income stability, repayment period, and total cost.
Quick comparison
| Loan type | Best suited for | Watch carefully |
|---|---|---|
| Mobile loans | Small urgent needs with short repayment. | High repeat-borrowing cost, privacy permissions, late fees. |
| Bank personal loans | Salaried borrowers needing larger amounts and longer terms. | Processing fees, insurance, salary deductions, early repayment rules. |
| SACCO loans | Members with savings history and guarantors. | Guarantor risk, membership rules, savings lock-in. |
| Business loans | Stock, equipment, farm inputs, and working capital. | Cash-flow timing, collateral, repayment from profit not hopes. |