Bank loans in Kenya

I can't speak regarding a loan - I have only heard of civil servants getting them.  I have a business bank account and personal bank account with KCB.  I looked at Barclays, KWFT etc but as I was on off and not earning a salary in Kenya, some banks prohibited me from opening.

I chose KCB as there is no account keeping fees and it was state bank and all the schools use it so secure.  Also, MPesa to KCB transfers is super awesome, but now I also pay school fees using the MPesa to KCB account feature.  Mobi banking is awesome.
The bit that isn't awesome is transaction fees.  That sucks.

I agree with Ozchick as I found KCB easiest to deal. As I often travel to Kenya I needed to open a local account and there were no restrictions.  I have never figured out how to use the Mpesa feature mentioned but hope someone will explain it here.

<<I can't speak regarding a loan - I have only heard of civil servants getting them>> 

Any bank customer with a good credit record can obtain a bank loan, mortgage or car finance.  After all, loans are an excellent income stream for a bank.  Just like banks anywhere else, they assess your application based on your banking history.  The main issue these days is opening a bank account in the first place, rather than obtaining a loan.

Loans can also be raised against land and property titles.

Interest rates are high at something like 13.5%.  I understand that the government have capped these at 4% above the base rate.  Not sure whether this still the case.

Kenya hasn't  reached the stage where a wide range of purchases can be made on credit, but it does seem to be heading there.

For vehicles, the bank retains joint ownership (recorded on the log book) of the vehicle until the loan is paid and can repossessed the vehicle if the loan is defaulted on.

For land and property, its just like anywhere else and the bank have powers of repossession if the loan isn't paid.

For unpaid loans, banks have the power to seize and auction goods and property, too.

I am unsure what action, if any would or could be taken if an expat left the country, leaving unpaid debts.

Many Kenyans have easier access to short term micro loans through Safaricom M-Pesa.  M-Shwari is their mobile banking service, and a bank account issued and regulated  by Commercial Bank of Africa, through which you can obtain small, short term (30 day) loans.