• Home
  • Business News
  • Weekly Reviews
  • Market Reports
Thursday, July 10, 2025
  • Login
  • Home
  • Business News
  • Weekly Reviews
  • Market Reports
  • Global Markets
  • Commodities
  • Corporate News
No Result
View All Result
The Trading Room
  • Home
  • Business News
  • Weekly Reviews
  • Market Reports
  • Global Markets
  • Commodities
  • Corporate News
No Result
View All Result
The Trading Room
No Result
View All Result
Home Business News

CAK to Scrutinize Digital Lenders on Consumer Exploitation Claims

Joan Stacy by Joan Stacy
in Business News
Reading Time: 2 mins read
A A
0
CAK to Scrutinize Digital Lenders on Consumer Exploitation Claims
Share on FacebookShare on Twitter

For the first time, the Competition Authority of Kenya (CAK) has been compelled to seriously get to the bottom of digital lenders following a blow-up of cases of consumer exploitation. High interest rates, short repayment periods, and murky loan contracts have been cited as the major forms of abuse. 

RELATED POSTS

NCBA Hosts Exclusive FX Customer Breakfast, Provides Global Insights

Tanzania’s Parliament Approves TZS 57.04Trn FY2025/26 Budget

Asian Markets Post Gains After Weeks of Drop As Trade Wars Hold

“We are looking into the sector because of many complaints that we’re getting – complaints about interest rates being too high, use of different currencies, and non-disclosure of information when contracting the loan. “– CAK Director General, David Kemei.

The authority said it has received many complaints about financial oppression, including cases where lenders charge interest rates of up to 40% with repayment periods as short as one month. On other occasions, borrowers have been asked to pay in US dollars. 

This comes as shoppers on popular Buy Now Pay Later financing options are facing higher product prices after the introduction of lending charge and exercise duty on their services by the treasury, in light of an amendment on the Finance Act 2025 that re-defines who a ‘digital lender’ is. 

CAK opened 858 consumer protection investigations between June of this year and June of last year, a 28% increase from 668 the previous year. 

The CBK, which provides regulatory oversight on the digital lenders, does not set interest rates for them. This provides room for the digital lenders to write their own rules.

In a bid to curb unscrupulous lending, the CAK is suggesting amendments to the Competition Act to have the authority to control the online lending space. The Central Bank of Kenya (CBK) has also initiated an evaluation of the digital credit provider regulations, aiming to widen its oversight and bolster consumer protection.

Buy JNews
ADVERTISEMENT
Post Views: 1
Tags: CAKcbk
Previous Post

NSE’s First Listing since 2020 as SKL Joins Bourse by Introduction

Joan Stacy

Joan Stacy

Related Posts

NCBA Group Bank PLC
Business News

NCBA Hosts Exclusive FX Customer Breakfast, Provides Global Insights

by Felix Ochieng
Tanzania Budget
Business News

Tanzania’s Parliament Approves TZS 57.04Trn FY2025/26 Budget

by Felix Ochieng
Global Markets Asian markets
Business News

Asian Markets Post Gains After Weeks of Drop As Trade Wars Hold

by Rennie Odek
Muya Guo Head of Chinese Segment at Stanbic Bank Kenya
Business News

Stanbic Bank Launches Platform to Enhance Access to Chinese Markets

by Felix Ochieng
Advertisement Banner Advertisement Banner Advertisement Banner
ADVERTISEMENT

Most Viewed Posts

  • Tea Farmers Set to Receive Kes 28 Billion as Final Bonus Payment (4,146)
  • 4 Things You Can Do With the Cashlet App to Achieve Your Financial Goals (2,249)
  • Hilda Njeru Takes over at CDSC (2,114)
  • Safaricom Finally Launches eSIM: Here’s What You Need to Know (1,998)
  • KenGen Gets Nod to Sell 4 Million Tonnes of Carbon Credits (1,848)

Follow Twitter

About Us

Follow Us

Popular Tag

Africa Asian - Pacific Stocks Asian Stock Markets Australian Stocks Bitcoin Bonds Kenya Bonds Trading in Kenya Brent Brent Crude Capital Markets Authority Central Bank of Kenya Corona Virus Pandemic Crude Oil Cryptocurrencies Derivatives NSE Derivatives Trading in Kenya Dow Jones Industrial Average Ethereum European Stock Markets Global Economy Global Markets Hang Seng Index Investing in Kenya Investor Briefing Jakarta Stock Exchange Kenya Economy Kospi index MSCI Index Nairobi Securities Exchange NASDAQ New York Stock Exchange Nikkei N225 NSE Oil Futures S&P 500 Index Safaricom Plc Shanghai Composite Shenzhen component spotlight Stock Market Report Stock Market Review U.S. Stock markets US oil Wall Street WTI Oil Index

Recent News

CAK to Scrutinize Digital Lenders on Consumer Exploitation Claims

CAK to Scrutinize Digital Lenders on Consumer Exploitation Claims

NSE SKL

NSE’s First Listing since 2020 as SKL Joins Bourse by Introduction

  • About
  • Advertise
  • Privacy & Policy
  • Contact

© 2025 The Trading Room Limited.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
TSLA 
$295.88  0.65%  
GME 
$23.19  1.93%  
MSFT 
$503.51  1.39%  
AAPL 
$211.14  0.54%  
AMC 
$2.95  1.72%  
ABNB 
$136.85  0.10%  
GOOGL 
$176.62  1.30%  
AMZN 
$222.54  1.45%  
No Result
View All Result
  • Home
  • Business News
  • Weekly Reviews
  • Market Reports

© 2025 The Trading Room Limited.

Are you sure want to unlock this post?
Unlock left : 0
Are you sure want to cancel subscription?