Commercial Bank of Africa Group which is Kenya’s largest private owned bank has today upgraded it’s Loop mobile phone banking service to allow offering loans of up to Ksh 3 million.
This is largest loan amount offered in the country.
Speaking on Thursday, they said Kenyan lenders are turning to technology in response to mobile based services sush as Safaricom’s M-Pesa service.
Excecutives in charge of banking and telecom said they are optimistic in the mobile loans as they have lower default rate of 10 percent.
Introduced in March this year, Loop has not been able to offer loan services despite CBA partnership with Safaricom to offer M-Shwari service.
As at today mobile services banking apps of prominent banks in Kenya have been able to transact less compared to Safaricom’s M-Pesa service.