What is Stawi Loan
Stawi loan app is the newest loan app in Kenya free download. The latest loan app targets micro, small and medium range business enterprises in the country. The Stawi mobile loan app is an initiative by the Central bank of Kenya (CBK) in partnership with five other commercial banks.
As earlier stated concerning Stawi Loan app, it offers cheap unsecured loans to SME’s. These loans will range from Kshs 30,000 to Kshs 250,000 with their repayment periods that are quite good of up to 1 to12 months, at an interest rate of only 9% p.a.
The Kenyan banks behind the Stawi loan app include:
- The Kenya Commercial Bank (KCB)
- Diamond Trust Bank Kenya Limited (DTB)
- The Cooperative Bank of Kenya Limited
- NIC Group PLC
- Commercial Bank of Africa Limited (CBA)
- How to apply for a Stawi Loan
To be eligible for the Stawi loan, one needs to be registered on the Stawi loan app. At the moment, the Stawi loan app is still under development stage (bug removal, etc) but once complete the loans will be disbursed to customers in two phases one which will be the pilot stage or test phase which will be in just two weeks after the Stawi app launch and will be disbursed to over 3, 500 individual traders in the MSME business sector.
The second Stawi phase will be disbursed to over 10,000 traders who must have been enrolled by Stawi loan agents across the five banks. The disbursed loan is deposited straight to the customer’s wallet.
Stawi loan Borrowing limit
The maximum loan amount that you can borrow at ago has been set at a whooping KSh. 250,000. Nevertheless, small business owners will be able to borrow from as low as KSh. 30,000. The loan limit will be increased or limited based on the borrower’s timely repayments and other factors. Furthermore, the scheme will see genuine borrowers rewarded with cash based on their previous borrowing profiles. This is one of the CBK’s latest attempts to unlock the credit squeeze in the country.
Loan fees and levies
Stawi loan draws just a 9% interest rate fee per annum. Other costs include an insurance fee of only 0.7%, a facility fee of only 0.4% and exercise duty that is about 20% of the facility fee. That is pretty an exorbitant fee ha?. All the above charges are deducted instantly on loan disbursement.
How to qualify for Stawi loan and get over 200K
In order for you to be eligible for the stawi loan, first, one needs to have the proper business ownership setup and registration certificates. The second thing is, one should go ahead and download then install the mobile loan app from the Google Play store after that, get registered on the Stawi app.
How do I qualify for the Stawi loan
stawi Loan qualification is currently based on a customers credit score, remember you can’t be eligible for a loan when you are blacklisted on CRB. Check how to get out of CRB here. The higher your credit score reads, the higher your loan limit will be. Additionally to the above, you will be eligible for a top-up functionality the moment 80 percent of the loan that was borrowed has been repaid or has been recorded of accomplishment of three months’ repayment.
Some golden features to note about stawi loan
- The facility provides full or partial repayments stretched over the repayment period (maxes out at 12 months)
- Those who default loan repayment will be reported to the CRB just like in other loaning platforms in Kenya.
- Stawi will have a mobile wallet. We are not so sure if it will be furnished with additional services such as payments as so forth.
- Money in the stawi app wallet can be sent to other wallets such as M-PESA.
The loan app has all the bells and whistles of a good loan app such as checking the amount that can be borrowed ie, loan limit, charges for the loan, repayment plans, etc.