Banks ordered to stop charging borrowers new transaction fees

Commercial banks have been asked to immediately stop charging their customers any new levies introduced following the coming into force of a new law capping interest rates.

Central Bank of Kenya’s (CBK) director in charge of Bank Supervision Gerald Nyaoma says in a circular to chief executives of commercial banks and mortgage finance companies that the regulator has in recent weeks received numerous applications from banking institutions seeking approval to increase charges on products.