tag:blogger.com,1999:blog-9317825.post4818152770943719262..comments2023-10-30T15:29:59.720+03:00Comments on Bankelele: April 18: Mostly Equity Linksbankelelehttp://www.blogger.com/profile/01180926084939364063noreply@blogger.comBlogger13125tag:blogger.com,1999:blog-9317825.post-26231768106156660732008-04-23T08:44:00.000+03:002008-04-23T08:44:00.000+03:00Poor child: you’re welcomeMashatall: microfinance ...Poor child: you’re welcome<BR/><BR/>Mashatall: microfinance is a useful product but if you translate it to mainstream it can be expensive for users, who be being less risky, should also pay less charges and interest<BR/><BR/>Just what?: stock price has gone up almost 1/3 since announcement of the Uganda deal. (See the Kenya capital investment group for more insight)<BR/><BR/>Nairobian Perspective: We’ll see how Ug takes to Equity in a few months. <BR/><BR/>Toiyoi: It’s a bit strange to see a bank advertising a controversial service. If used one time, it may be ok, but as you point out consumers get into a vicious expensive circle with payday loans<BR/><BR/>Coldtusker: there’s no limit to how much a bank can charge here <BR/>- I’d like to see APR adopted in future marketing & comparison studies (such as the one by www.fsdkenya.org)<BR/><BR/>Inspectordanger: banks are in rural areas, but mostly to mobilize deposits, but find that their rural loan products are a bit limitedbankelelehttps://www.blogger.com/profile/01180926084939364063noreply@blogger.comtag:blogger.com,1999:blog-9317825.post-44741647805218467382008-04-21T17:38:00.000+03:002008-04-21T17:38:00.000+03:00Again, some quick informational link is: Payday Lo...Again, some quick informational link is: <A HREF="http://video.msn.com/video.aspx?mkt=en-US&brand=&vid=7f85b310-5785-4378-ae6c-2b24448f7c0d" REL="nofollow" TITLE="Payday Loan Trap">Payday Loan TrapPayday Loan Trap</A>Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-9317825.post-85244421783255313582008-04-21T17:35:00.000+03:002008-04-21T17:35:00.000+03:00Here is a link worth musing over:http://video.msn....Here is a link worth musing over:<BR/>http://video.msn.com/video.aspx?mkt=en-US&brand=&vid=7f85b310-5785-4378-ae6c-2b24448f7c0dAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-9317825.post-1541789295762295612008-04-21T17:33:00.000+03:002008-04-21T17:33:00.000+03:00@coldtuskerYou wrote "but satisfying a need. The c...@coldtusker<BR/><BR/>You wrote "but satisfying a need. The competition is good for all..."<BR/><BR/>200%-1000% APR is not good business practice, it is feeding on the weakness of the weak, which a bank such as KCB ( i do not know about Equity ) should not engage in.<BR/><BR/>In the US, they are legally required not to lend over $300 per week, but as you may expect, they have found ways to circumvent this.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-9317825.post-1519358907545578692008-04-21T10:38:00.000+03:002008-04-21T10:38:00.000+03:00Talking about Equity's growth, why haven't any ban...Talking about Equity's growth, why haven't any bank, KCB, Equity, NBK, Co-op etc ventured in remote areas where farmers and business individual are yearning for banking services. These areas are Sunenka in Kisii, and Kendu Bay. I am sure there are other areas. The profits these banks make now can be even more. The CEO's are you tuned to Bankelele?Unknownhttps://www.blogger.com/profile/03285332992788921986noreply@blogger.comtag:blogger.com,1999:blog-9317825.post-52282266986382608002008-04-21T09:50:00.000+03:002008-04-21T09:50:00.000+03:00toiyoi: You live in the US (si?)...Kenyans banks w...toiyoi: You live in the US (si?)...<BR/><BR/>Kenyans banks will be forced to report loans on an APR basis. Equity's loans can be over 30% APR.<BR/><BR/>Note that I would rather support a 20-30% APR from banks vs a 20% per month from moneylenders.<BR/><BR/>Credit cards in Kenya are 20-36% APR.<BR/><BR/>Regarding dependency. I feel your pain but its what it is. If the banks cant enter the market, the borrowers will use the moneylenders at 300% APR.coldtuskerhttps://www.blogger.com/profile/11310224592572460759noreply@blogger.comtag:blogger.com,1999:blog-9317825.post-75521290928566859142008-04-19T22:54:00.000+03:002008-04-19T22:54:00.000+03:00@coldtaskerWould you take a loan that charges you ...@coldtasker<BR/>Would you take a loan that charges you 20% per month and you had to do this several times a month or every month? What is that per annum? Even riskier (unsecured) credit cards charge an average 20% per annum.<BR/><BR/>As i said, a study shows that payday loans use is never a 1/2/5 times event, but it creates a dependency on the borrower.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-9317825.post-18331320387321983602008-04-19T19:08:00.000+03:002008-04-19T19:08:00.000+03:00toiyoi: Kenyan banks are limited as to how much th...toiyoi: Kenyan banks are limited as to how much they can charge... Kenyan moneylenders charge 10-20% per month...<BR/><BR/>Equity has cut into the moneylenders market. I hope KCB does so too... It's not about 'sharking' but satisfying a need. The competition is good for all...coldtuskerhttps://www.blogger.com/profile/11310224592572460759noreply@blogger.comtag:blogger.com,1999:blog-9317825.post-53039780745483047112008-04-19T18:22:00.000+03:002008-04-19T18:22:00.000+03:00In America (at least) pay day loans are run by "mo...In America (at least) pay day loans are run by "money sharks". Most people who use pay day loans (at least in the US) are forever dependant on them (spending more than they bring in), and end up paying close to 200% (some study, will find the link) on interest.<BR/><BR/>A Bank such as KCB should not do this type of "sharking"Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-9317825.post-21470944112476511902008-04-19T11:58:00.000+03:002008-04-19T11:58:00.000+03:00Equity is the mwananchi's bank and will definately...Equity is the mwananchi's bank and will definately do well in the Ugandan market with their wide affordable product range.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-9317825.post-24242675403798311692008-04-19T09:57:00.000+03:002008-04-19T09:57:00.000+03:00banks' remarkable info on equity there. what of th...banks'<BR/> remarkable info on equity there. what of the stock price? it has gone up to about 200 since the cabinet was named. is it over-valued? or do the fundamentals support it, given the expected growth (both organic and the ugandan acquisition).Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-9317825.post-6902626579315826152008-04-18T22:12:00.000+03:002008-04-18T22:12:00.000+03:00Banks,What Equity does so well is adopt the microf...Banks,<BR/>What Equity does so well is adopt the microfinace model to mainstream commercial banking, where they understand that the market they serve is in the majority, while all the other banks try to court the minority.Local solutions need homegrown solutions, period. Its time the other players put their thinking caps on, and try and play catchup with Equity, otherwise they will soon be controlling 60% of the market by end of year.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-9317825.post-76980164281914593922008-04-18T20:35:00.000+03:002008-04-18T20:35:00.000+03:00great! thanks very much for sharing!great! thanks very much for sharing!Anonymousnoreply@blogger.com