The cost of credit site was created by the Kenya Banker’s Association as a tool to be used by customers who want to acquire a credit facility from any bank in Kenya to access information that will be useful in selecting a bank. The platform has the app that can also be downloaded on Android, Windows and Apple phone stores for the ease and accessibility of the User. This article seeks to help the user navigate the site easily.
On the home page, there are 3 important features.
- The App Download Option
- The Quick Cost of Credit Estimate Calculator
- The Welcome Message
The Download Option
The options to download the app are right above the “Quick Cost of Credit Estimate” section. The application works on Android, Windows and Apple gadgets with ease.
The Quick Estimate Loan Calculator
The Quick Estimate Loan Calculator allows the user to make a rough estimate as explained above. For a detailed How to Guide on How to Use the Calculator, Read this article (Here insert link for Article II). In addition to the prompts to download the app, on the home page as well, there is the welcome message that enables the customer to see how the total cost of credit is arrived at.
The application works in a simple way. The user, who is a potential loan customer, selects the bank they would like to visit, the type of loan, the interest rate, the repayment period and the amount and they receive a quick estimate of the loan and how much they would accrue in terms of interest and thus they get the total amount of money they will have to pay in the end.
The Welcome Message – How the Total Cost and the APR are arrive at.
An important feature of the welcome message is that it enables the user to understand how the total cost of credit and the APR (Annual Percentage Rate) are arrived at. The above mentioned is acquired by factoring in the interest rate component, the bank charges and fees and any other third party fees that may be incurred.
Other features that can be found on the easily navigable site are
- The Detailed Cost of Credit Calculator – this page allows the user to go in-depth on the details that are required to arrive at the total cost of the loan. These details were already mentioned on the homepage as the bank charges, the third party costs and the interest rate component.
- Downloads – the downloads sections features 2 important documents that are important to anyone who wants to acquire a loan. The Consumer Guide to Banking in Kenya published by the Kenya Bankers Association to define and ensure that good banking practices are practiced by members of KBA and bank customers as well. DOWNLOAD THE CONSUMER GUIDE
The other download found on the site is the Central Bank of Kenya Consumer Protection Guidelines that entails information on what the law says about customer rights. It protects customers from fraud, loss of privacy and malpractices by any bank in the KBA. Download the CENTRAL BANK OF KENYA CONSUMER PROTECTION GUIDELINES
- Frequently Asked Questions (FAQS) – in this section, questions pertaining to cost of credit are addressed. For example the question “How do banks price their loans/interest rates?” is well answered to give the bank customer a clear understanding of why they are charged particular percentages.
- News – in the news section, important press releases and podcasts and their transcripts are available for the perusal of the bank customer.
- Glossary – the glossary section is primarily useful to any bank customer who would like to get the detailed meaning of common words used in the loan acquisition process. As with all professions, there are words that are professional-lingo and that is addressed here. For example mortgage is “A secured loan provided exclusively for the purchase or improvement of housing, usually over a period of at least five years. In some instances, other types of loan can serve the same purpose.” This and many other words are included in the glossary.
- Contacts – the contacts section has the email addresses, physical addresses and the websites of the Central Bank of Kenya, the Kenya Bankers Association and the Credit Information Sharing Credit Kenya. If one desires to obtain the full report of their credit, they can do so from the following licensed credit reference bureaus. The Metropol Credit Reference Bureau Ltd. TransUnion / CRB Africa Ltd. And the Credit Reference Bureau Limited.
The bank customer can also send an email using the provided widget in case of further queries.
Following this guide, one can easily navigate the well laid out, eye pleasing site without any difficulty.