Members of the Digital Lenders Association (DLAK) agreed to waive the late repayment fees to cushion Kenyans from the hard economic times instigated by coronavirus.
According to the statement from the association, the waiver is aimed at providing customers with a soft landing as a slowdown in economy has affected their income.
“Customers are advised to seek more detailed information on the specific aspects of the waiver from their respective providers,” read the statement.
“The move will cushion the customers who are under distress, following the slowdown in the economy after disruptions to their day to day operations that could have had an effect on regular income flow.”
The association said that President Uhuru Kenyatta’s move to temporarily suspend listing with the Credit Reference Bureau (CRB) was welcomed since the outbreak has caused economic headwinds across the globe.
The President directed temporary suspension of listing with the Credit Reference Bureaus (CRB) of any person, Micro, Small and Medium Enterprises (MSMEs) and corporate entities whose loan account falls overdue or is in arrears effective April 1, 2020.
DLAK comprises 12 founding members among them; Tala, Alternative Circle, Stawika Capital, Zenka Finance, MyCredit, Okolea, LPesa, Kopacent, Four Kings Investment T/A Sotiwa, Mobile Financial Solutions (MFS), Kuwazo Capital, and Finance Plan Ltd
Other members are Branch, Vaell, Quipbank, Roamtech solutions, Aspira and MicroMobile.