Can a loan broker or 'CRB clean-up' firm ask you to pay upfront?
Consumer Protection Act; Competition Authority of Kenya · sources read 4 Oct 2026
A loan broker cannot take any payment or security from you until you actually receive the loan, and a credit repairer (someone offering to 'fix' your CRB record) cannot take any until your credit record has materially improved. You can cancel such an agreement for any reason within 10 days of getting the written copy.
- Deadline
- 10 days after you receive the written agreement to cancel for any reason.
- Deadline
- 1 year to cancel if you never got a proper copy of the agreement.
- Where
- Competition Authority of Kenya (consumer complaints) or the courts
Steps
- Ask for the agreement in writing. The law says it must be written and given to you.
- To cancel, tell the broker or agent within 10 days of getting the written copy. You don't need to give a reason.
- You can complain to the Competition Authority of Kenya by post, email, phone or at its offices, using its consumer complaint form.
- You can also take the matter to court under the Consumer Protection Act.
Watch out
- Any security they took from you in breach of this rule (for example a logbook or title held as 'guarantee') is void.
- The company's directors and officers are personally liable too, not just the company.
Who this covers
- Anyone paying someone to help them get a loan or credit (loan brokering).
- Anyone paying someone to improve their credit report or CRB record (credit repair).
Official sources (2)
- Consumer Protection Act, 2012 (No. 46 of 2012), Kenya Gazette Supplement No. 201 parliament.go.ke · read 4 Oct 2026
- Consumer Protection cak.go.ke · read 2 Oct 2026