Spire Bank caught in loan interest rates charge row

The bank was also ordered to issue fresh statutory notices reflective of the accurate arrears with the agreed interest applied.

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Spire Bank, formerly known as Equatorial Commercial Bank, is in the spotlight over allegations of increasing interest rates on a borrower's loan without seeking the approval of the Treasury Cabinet Secretary.

High Court Judge Nixon Sifuna found the bank had increased interest on a business loan advanced to Bear Afric (Kenya) Limited in February 2014 without the required approval as provided in the Banking Act.

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