The Kenya Commercial Bank (KCB) offers a unique credit product known as the Boda Boda credit. It provides up to 70% financing, allowing you to purchase a tuk-tuk or boda boda. The financing also includes a yearly full insurance policy that protects against risks including accidents, theft, fire, and vandalism. Its variable payback terms can be adjusted to fit your business cycle and cash flow. For tuk tuks and motorcycles, you have up to 24 months and 12 months, respectively, to pay back the loan.
Benefits of KCB Boda Boda Loan Applications
The KCB Boda Boda Loan offers a business opportunity as well as a loan. You can start or grow your boda boda or tuk tuk business with it and gain the following advantages:
- It can help increase your income and savings through earnings from your boda boda fares.
- By running the business or employing a boda boda or tuk tuk driver, you can provide employment for both you and other people.
- If you pay back your KCB Boda Boda Loan on time and establish a positive relationship with KCB Bank, you can raise your credit score and reputation.
- Other financial services and products from KCB Bank, including savings accounts, mobile banking, insurance, etc., will be available to you.
- By providing transportation services and promoting the growth of regional businesses, you can promote the growth of your neighborhood and the economy.
- You will receive yearly full coverage insurance for your tuk tuk or boda boda.
- The repayment conditions for the KCB Boda Boda loan are adaptable to your cash flow and business requirements.
Conditions to Apply for a KCB Boda Boda/Tuk Tuk Loan
The following prerequisites must be met before you can apply for a KCB Boda Boda Loan in Kenya:
- An active account with any business institution where you’ve remitted your business proceeds for at least three months.
- a valid driver’s license for a tuk tuk or boda boda.
- your passport or national ID card
- a proforma invoice from any tuk tuk or boda boda dealer.
- a 3% of the loan amount negotiation fee. This one-time payment will pay for the processing of your loan application.
- You need to provide a guarantee by a KCB account holder where a log book is held on simple deposit.
- 30% of the motorcycle’s or tuk tuk’s overall cost. The remaining 70% will be financed by KCB Bank.
- a three-month history of group savings or a six-month history of banking with KCB bank.
You are now prepared to apply for your KCB Boda Boda/Tuk Tuk loan if you satisfy all of the aforementioned prerequisites. Simply stop by the KCB branch that is closest to you to apply, or use their online. KCB will give appropriate instructions on how to apply for a loan and how to pay it back.