Law Capping interest rates - Page 102 - Economy - Wazua

Welcome Guest

Wazua » Investor » Economy » Law Capping interest rates

Law Capping interest rates

Options

Previous Topic · Next Topic

muandiwambeu		#1011 Posted : Monday, September 12, 2016 9:56:19 AM
Rank: Veteran Joined: 8/28/2015 Posts: 1,247		Impunity wrote: kaifastus wrote: obiero wrote: muandiwambeu wrote: wukan wrote: KulaRaha wrote: obiero wrote: KulaRaha wrote: At 12.9% kcb and co are doomed. What forms the basis of your judgement. Kenyan banks could lend at 5% and still make a profit.. It all depends on cost of funds.. Recalibration of the accounts that qualify for the minimum of 70% on CBR shall determine which bank thrives.. COOP via the SACCO movement remains the best bet to ride this wave With a gross spread of 6% and npls higher, how will they earn a profit? The aim is to maintain the market share so for a while the profit motive takes a chill. I would bet Equity would come at 12% and effectively wipe out the Sacco movement's value proposition. Why would anyone borrow their own money at 12% when you can get it from the bank? I would expect Sacco deposits will shrink so Coop would the worst bus @wakun you have a point I had not seen coming. but it will take some time for the echo's to make rounds. though and simply stated banks are having a Molotov cocktail in their menu and am not ready to dine with them. imagine kbbr at 6.5% that would make it 10.5% for the banks. I would borrow for the first time in my life a secured loan to setup my fourth small production industry without looking over my shoulder's. let the whipping continue. Banks have a lot of say in the financial agenda for the country.. If the banks needed to move the rates up, they could do it.. Plus negotiation fee cannot be capped so the banks can raise appraisal fee to 5% per loan, chargeable annually.. Any fee increment is being monitored by cbk. The cbk recently instructed banks to remove "nuisance" fees like bank closing charges. banks like coop were sending sms threatening to list customers in credit bureaus as defaulters coz of silly charges which arent loans! Again customers will vote with their feet/money and migrate to friendlier banks. The law can be amended to also cap the fees...kwani iko nini? processing fee is a professional charge or commission and there exists guidelines to regulate them already ,Behold, a sower went forth to sow;....
Back to top		\| \| Edit by user: Monday, September 12, 2016 3:33 PM \| Reason: Not specified
User Profile

Impunity		#1012 Posted : Monday, September 12, 2016 6:21:39 PM
Rank: Elder Joined: 3/2/2009 Posts: 26,331 Location: Masada		muandiwambeu wrote: Impunity wrote: kaifastus wrote: obiero wrote: muandiwambeu wrote: wukan wrote: KulaRaha wrote: obiero wrote: KulaRaha wrote: At 12.9% kcb and co are doomed. What forms the basis of your judgement. Kenyan banks could lend at 5% and still make a profit.. It all depends on cost of funds.. Recalibration of the accounts that qualify for the minimum of 70% on CBR shall determine which bank thrives.. COOP via the SACCO movement remains the best bet to ride this wave With a gross spread of 6% and npls higher, how will they earn a profit? The aim is to maintain the market share so for a while the profit motive takes a chill. I would bet Equity would come at 12% and effectively wipe out the Sacco movement's value proposition. Why would anyone borrow their own money at 12% when you can get it from the bank? I would expect Sacco deposits will shrink so Coop would the worst bus @wakun you have a point I had not seen coming. but it will take some time for the echo's to make rounds. though and simply stated banks are having a Molotov cocktail in their menu and am not ready to dine with them. imagine kbbr at 6.5% that would make it 10.5% for the banks. I would borrow for the first time in my life a secured loan to setup my fourth small production industry without looking over my shoulder's. let the whipping continue. Banks have a lot of say in the financial agenda for the country.. If the banks needed to move the rates up, they could do it.. Plus negotiation fee cannot be capped so the banks can raise appraisal fee to 5% per loan, chargeable annually.. Any fee increment is being monitored by cbk. The cbk recently instructed banks to remove "nuisance" fees like bank closing charges. banks like coop were sending sms threatening to list customers in credit bureaus as defaulters coz of silly charges which arent loans! Again customers will vote with their feet/money and migrate to friendlier banks. The law can be amended to also cap the fees...kwani iko nini? processing fee is a professional charge or commission and there exists guidelines to regulate them already Those guidelines can be abused and so we will regulate them further. Portfolio: Sold You know you've made it when you get a parking space for your yatcht.
Back to top		\|
User Profile

Ericsson		#1013 Posted : Monday, September 12, 2016 8:04:44 PM
Rank: Elder Joined: 12/4/2009 Posts: 10,820 Location: NAIROBI		I'm waiting to hear the banks give statistics of how many people they have given loans so far at 14.5% or 12.9% Otherwise these are PR gimmicks at play Wealth is built through a relatively simple equation Wealth=Income + Investments - Lifestyle
Back to top		WWW \|
User Profile

iris		#1014 Posted : Monday, September 12, 2016 8:15:59 PM
Rank: Member Joined: 9/11/2014 Posts: 228 Location: Nairobi		tom_boy wrote: streetwise wrote: I think this thing as as bout Gova getting cheaper money. The government is you and I ....... or so I was taught in primary school. No doubt you were also taught: "Zamani tuliwekwa eti namba four Sasa abautani tuko namba wani"
Back to top		\|
User Profile

Xymalos		#1015 Posted : Tuesday, September 13, 2016 4:43:28 AM
Rank: New-farer Joined: 2/14/2015 Posts: 98 Location: Kenya		Any news from Equity Bank and Housing Finance as to when they will implenent the new lending rates? If so, what rates are they quoting? Finally the end outrageous lending rates!!
Back to top		\|
User Profile

obiero		#1016 Posted : Tuesday, September 13, 2016 8:32:33 AM
Rank: Elder Joined: 6/23/2009 Posts: 14,320 Location: nairobi		Xymalos wrote: Any news from Equity Bank and Housing Finance as to when they will implenent the new lending rates? If so, what rates are they quoting? Finally the end outrageous lending rates!! The bill has not been gazetted so the two can milk this to the last cent.. It is a gamble but it may pay off COOP, IMH, KEGN, KQ, MTNU
Back to top		WWW \|
User Profile

bird_man		#1017 Posted : Tuesday, September 13, 2016 9:04:11 AM
Rank: Veteran Joined: 11/2/2006 Posts: 1,206 Location: Nairobi		obiero wrote: Xymalos wrote: Any news from Equity Bank and Housing Finance as to when they will implenent the new lending rates? If so, what rates are they quoting? Finally the end outrageous lending rates!! The bill has not been gazetted so the two can milk this to the last cent.. It is a gamble but it may pay off Banks cannot fight CBK.Last I checked last week, HFCK was trying to comply and set loan rates at 14.5%. All the same, CBK is failing big time. They need to come out clearly on whether its KBRR or CBR. Formally employed people often live their employers' dream & forget about their own.
Back to top		\|
User Profile

Ericsson		#1018 Posted : Tuesday, September 13, 2016 9:44:20 AM
Rank: Elder Joined: 12/4/2009 Posts: 10,820 Location: NAIROBI		That's why we need an independent financial system divorced from politics. If you look at USA the monetary policy by the Federal Reserve is the 4th arm of the government therefore politics aside. Here in Kenya decisions are being made with the aim of winning the 2017 General elections. Like someone said,stay out of stocks/equities till October 2017 Wealth is built through a relatively simple equation Wealth=Income + Investments - Lifestyle
Back to top		WWW \|
User Profile

maka		#1019 Posted : Tuesday, September 13, 2016 9:56:02 AM
Rank: Elder Joined: 4/22/2010 Posts: 11,522 Location: Nairobi		Ericsson wrote: That's why we need an independent financial system divorced from politics. If you look at USA the monetary policy by the Federal Reserve is the 4th arm of the government therefore politics aside. Here in Kenya decisions are being made with the aim of winning the 2017 General elections. Like someone said,stay out of stocks/equities till October 2017 Thats the kind of poltics we love...na hii ndio malipo,they really dont care. possunt quia posse videntur
Back to top		\|
User Profile

bird_man		#1020 Posted : Tuesday, September 13, 2016 10:19:15 AM
Rank: Veteran Joined: 11/2/2006 Posts: 1,206 Location: Nairobi		Ericsson wrote: I'm waiting to hear the banks give statistics of how many people they have given loans so far at 14.5% or 12.9% Otherwise these are PR gimmicks at play I'd also love to see such.If you force all rates at 14.5% despite Banks having insufficient data and lazy scoring models,credit will be witheld for smaller and SME borrowers.Lets watch. Otherwise all these declarations are nothing but PR. Formally employed people often live their employers' dream & forget about their own.
Back to top		\|
User Profile

303 Pages«<100101102103104>»

Wazua » Investor » Economy » Law Capping interest rates

Forum Jump

You cannot post new topics in this forum.
You cannot reply to topics in this forum.
You cannot delete your posts in this forum.
You cannot edit your posts in this forum.
You cannot create polls in this forum.
You cannot vote in polls in this forum.

Watch this topic
Print this topic

Normal
Threaded