Shylocks auction desperate Kenyans’ matrimonial homes and cars

https://www.businessdailyafrica.com/corporate/companies/Shylocks-auction-desperate-Kenyans-matrimonial-homes/4003102-4907856-view-asAMP-9b71p0/index.html
The lenders are thriving by advancing huge sums of money based on collateral that they dispose of at the slightest hint of default.

Shylocks have taken advantage of inaccessibility of bank loans to strip many Kenyans of their prime assets, mainly matrimonial homes and cars.
Documents filed in court reveal a shocking trend where money lenders move in to auction hapless borrowers’ property after slapping them with huge default penalties as high as five times the borrowed amount. Digital mobile apps and micro-lenders are at the forefront of expanding the Shylock economy. The lenders are thriving by advancing huge sums of money based on collateral that they dispose of at the slightest hint of default.
One such lender, Mwananchi Credit Limited, is fighting off multiple suits by clients who accuse the firm of seeking to dispose of their property after loading high interest and penalty charges that put repayment out of their reach.
A borrower, George Washington Mallan Omondi, is fighting to stop Mwananchi Credit Limited from disposing of his Lavington home after he defaulted on repaying Sh6.5 million borrowed in May last year.
Mr Omondi is shocked that the loan accrued Sh14 million interest by March this year. He says the lender is seeking to dispose of his house, valued at Sh200 million, at a throwaway price.
“The defendants… be restrained from selling, offering for sale, advertising for sale or in any way dealing with the property pending the hearing and determination of the suit,” reads one of the orders he is seeking in the court document. Mr Omondi says he borrowed Sh8.9 million to be repaid in six months but received only Sh6.5 million and was told the difference covers interest.
But the firm’s director, Dennis Mwombo, in his response says that the terms were well explained to Mr Omondi. This is just one of the many suits the firm is fighting off. Wilfred Omondi Opiyo borrowed Sh2 million to be repaid in three months with interest of Sh661,998. He used his property in Kajiado as collateral.
He says he repaid two instalments but due to financial difficulties defaulted on the third.
Mwananchi Credit Limited moved to sell his property to recover Sh4.2 million, which it said was the outstanding amount.

This Mr. Omondi owns a house worth ksh200 million, but opted to get a loan of ksh8.9 million, of which he was given ksh6.5 million, the difference being interest, from a shylock.
I really don’t believe, that the like of Mr. Omondi can’t find a bank with better terms to lend him money.

Money laundering activities ,mtu ako na nyumba ya 2million dollars is a multi billionaire sio mtu wa kukopa kopa pesa hata haiwezi nunua f10 machine mupya,shida ya social climbers.

Wrong! Shylocks take advantage of fools who believe in easy money.

Mwananchi credit msijaribu aisee!!

Iam not sure what Omondi’s level of desperation was to use a house worth 200mil to secure a loan of 6 mill, but on the surface, it looks like it was a stupid move.

Here we go again!!

Omondi probably got the house via inheritance. I dont see someone who worked his way to a house like that losing it in such an insane way

Hii hesabu mbona haingiiani…total money plus interest bank wanted 2.66M…amelipa two instalments amebakisha 888k one instalment… How can this amount to 4M…kwani defaults fine ni 3M???

You read the article and still pose such a question?

Sijasoma…just quoting owner of thread…nishaona lakini now

That’s @teamtalk for you.

Deni niliepuka nayo…thank God…Saf mshwari send me SMS I qualify for 40k na hata sina account pale lakini sijawai…debts are stressful at night and shame during the day…that’s my principle

KWFT is another Monster…hii imefanya wanawake wauze plots zao

Probably he is too extravagant, halafu some guys liquidity inaletanga noma na labda hana constant source of income. Na hataki kudowngrade.

Anaingia headfirst into 12 inches of brown water… :smiley:

The two Omondis seem to have that emerging Kenyan tendency of using borrowed money for consumptive purposes.

Gay sema…I exposed you asubuhi in another thread umekimbilia hapa…

Let’s say I’m gay as you claim, what can you do to change that ? At the end of the day, I get to dictate what I do with my butt hole.

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