Want to qualify for bigger loans in Kenya? It all starts with clearing your name from the Credit Reference Bureau (CRB) and building a strong credit history.
Why Your CRB Status Matters
Banks, SACCOs, and even mobile lending apps check your CRB report before approving loans. A negative CRB listing can limit your borrowing power or lead to higher interest rates. On the flip side, a good score can open doors to affordable loans and higher limits.
Steps to Clear Your Name from CRB
- Check Your CRB Status: Start by checking your status through licensed CRB agencies such as Metropol, TransUnion, or CreditInfo.
- Clear Outstanding Debts: Pay any overdue loans or negotiate repayment plans with your lender. Once cleared, request them to update your status with the CRB.
- Obtain a Clearance Certificate: After the update, apply for a clearance certificate from the CRB agency as proof of a clean record.
How to Improve Your Credit Score
- Pay all loans and bills on time, every time.
- Limit borrowing to what you can comfortably repay.
- Use SACCOs and microfinance institutions to build your loan history.
- Avoid multiple loan applications within a short time.
When to Start Building Credit
Most lenders, especially microfinance institutions, prefer borrowers with at least 1–2 years of positive credit history. If you plan to take a large loan, start building your score at least 6–12 months in advance.
Key Benefits of a Strong Credit Score
Clearing your CRB and improving your credit score can help you access:
- Bigger loans from banks, SACCOs, or mortgage providers.
- Higher SACCO loan limits for members.
- Lower interest rates as a trusted borrower.
- Higher limits on mobile loans and instant approvals.
Quick Action Plan
- Check your CRB status today.
- Pay off any outstanding debts and get a clearance certificate.
- Build your repayment record over time.
- Apply for bigger loans once your credit is healthy.
For more financial tips and guides, visit our Business section.
