Crest Loan Terms & Conditions

1.1 The Parties: This Loan Agreement and Terms and Conditions ("Agreement") is made between Swiftcrest Capital Limited (Certificate of Incorporation No. PVT-7LU572M2), a private limited liability company incorporated under the Companies Act of the Republic of Kenya, trading as "Crest Loan" (hereinafter referred to as the "Company" or "Lender"), and the customer who applies for, registers, and accepts a credit facility through the Crest Loan platform (hereinafter referred to as the "Borrower" or "Customer").

1.2 Regulatory Framework: The Company conducts its digital lending business in accordance with the Central Bank of Kenya Act (Cap. 491), the Central Bank of Kenya (Digital Credit Providers) Regulations, 2022 (Legal Notice No. 46 of 2022), the Data Protection Act, 2019, the Consumer Protection Act, 2012, and all applicable prudential, consumer-protection, and anti-money laundering laws of the Republic of Kenya.

1.3 Purpose of the Loan: The Crest Loan credit facility is tailored specifically for businesspersons who own or operate micro, small, and medium-sized enterprises in Kenya. The facility is intended to finance working capital, inventory replenishment, business cash-flow stabilization, and urgent business liquidity requirements.

Unless the context otherwise requires, capitalized terms used in this Agreement shall bear the following meanings:

3.1 Eligibility Criteria: To qualify for a credit facility with Crest Loan, a prospective customer must satisfy all of the following requirements:

• Legal Capacity: Be an individual of at least eighteen (18) years of age with full legal capacity to enter into binding contracts under the laws of Kenya;
• Active Business Operation: Own or operate an identifiable, physical commercial business in Kenya, generally with an active operating history exceeding one (1) year;
• National Identification: Possess an authentic, valid Kenyan National Identification Card (or legally valid equivalent document);
• Business Documentation: Provide a valid copy of the business's operating permit, single business permit, county trading licence, or equivalent regulatory authorization;
• Nominated References: Nominate two (2) reputable contact persons who can verify the applicant's identity and business operation. Nominated contact persons are references and do not hold guarantor liability unless a separate legally valid guarantee has been formally consented to in writing;
• Onboarding Completion: Successfully undergo and pass the hybrid physical-and-digital onboarding verification process described in Section 4.

3.2 Verification Underpinning: Eligibility is verified independently and not merely self-declared. The Company cross-checks national identity records, inspects physical premises, validates business licensing, and conducts KYC/AML screening prior to credit approval.

4.1 The Hybrid Model: In order to promote responsible lending and robust fraud prevention, Crest Loan uses a mandatory hybrid onboarding model comprising in-person field verification followed by digital application.

4.2 Repeat Borrowing Rules: A customer who has successfully completed the initial physical onboarding is not required to repeat physical visits for subsequent loans, provided their account remains in good standing. The Company reserves the right to re-verify premises where there is a material lapse in borrowing, address change, adverse credit information, or refreshed KYC requirements.

5.1 Initial Credit Limit: A newly onboarded borrower is assigned an Initial Credit Limit ranging strictly between KSh 1,000 and KSh 10,000. KSh 10,000 is the absolute regulatory ceiling for an initial loan. The initial limit is determined based on the outcome of the credit and affordability appraisal.

5.2 Maximum Exposure Ceiling: The absolute maximum aggregate credit exposure available to any single customer under the current Borrowing-Limit Model is KSh 50,000. No exception, automated rule, or manual override may exceed this ceiling.

5.3 Three-Consecutive-Cycle Requirement for Progression: A borrower is not eligible for a credit limit increase until they have successfully completed at least three (3) consecutive borrowing and repayment cycles within their current limit tier.

5.4 Discretionary Nature of Progression: Meeting the 3-cycle requirement does not create an automatic legal entitlement to a limit increase. The Company retains the right to increase, freeze, or reduce credit limits based on updated affordability assessments, credit bureau reports, or broader risk indicators.

6.1 Approved Pricing Schedule: In accordance with Regulation 16 and Regulation 25 of the DCP Regulations, the Company operates an approved, transparent pricing structure for digital credit facilities:

6.2 Mandatory Regulation 27 Disclosures: Prior to final loan acceptance on the Crest Loan APK, the customer will be presented with an explicit, plain-language summary containing:

• The precise principal amount to be disbursed;
• The contractual finance charge / interest for the selected tenor;
• The total repayable amount (Principal + Finance Charge);
• The exact repayment due date;
• The designated M-Pesa repayment Paybill and account details;
• Clear warning on the consequences of late payment or default.

7.1 Approval Governance: Loan approval authority is role-based and governed by internal underwriting controls. Field Officers do NOT have unilateral authority to approve loans or assign credit limits. All loan approvals are evaluated and authorized by designated Loan Disbursement Officers based on verified records, system underwriting, and affordability parameters.

7.2 Sequential Workflow:

1. Submission: The customer initiates a request through the Crest Loan APK specifying amount and tenor;
2. Automated & Manual Checks: System confirms valid onboarding status, verifies outstanding balances, and runs fraud checks;
3. Underwriting Decision: Authorized Loan Disbursement Officer approves, modifies, or declines the request;
4. Key Information Disclosure: Transparent loan offer summary displayed on the customer's device;
5. Customer Acceptance: Borrower confirms acceptance via PIN/biometric authentication on the APK;
6. Instant Disbursement: Approved funds are disbursed electronically to the Borrower's verified Safaricom M-Pesa account.

8.1 Repayment Channel: All repayments must be remitted exclusively via the official Safaricom M-Pesa Paybill designated by Crest Loan or via the embedded payment gateway in the Crest Loan APK. Borrowers must NEVER pay cash to any Field Officer or agent. The Company disclaims all liability for cash handed to individuals.

8.2 Early Settlement: The Borrower is fully entitled to repay the loan in full before the maturity date. Early repayment improves credit history and progression eligibility. Contractual finance charges apply for the selected product tenor.

8.3 Priority of Payment Allocation: Remittances received from a borrower are allocated strictly in the following sequence:

1. 1st Priority: Principal loan balance;
2. 2nd Priority: Contractual interest / finance charges;
3. 3rd Priority: Permissible recovery expenses and late payment fees (subject to statutory limits).

9.1 Arrears & Default: A loan enters arrears immediately after 23:59 hours on the contractual due date. The Company provides courteous advance reminders before maturity and immediate arrears notifications via SMS, email, and the APK upon non-payment.

9.2 Suspension of Borrowing: An account in arrears is immediately suspended from further borrowing or limit progression until the outstanding arrears are fully settled.

9.3 Loan Restructuring Policy: In accordance with the Company's Credit Policy, Crest Loan does not offer loan restructuring under its current standard credit framework.

9.4 Accounting Write-Off vs. Legal Liability: The Company may classify loans in default for 180+ days as "Loss" and write them off internally for balance-sheet provisioning. An accounting write-off is purely an internal risk-management procedure; it does not extinguish, waive, or discharge the borrower's legal liability, and the Company reserves the right to pursue lawful recovery within the statutory limitation period under the Limitation of Actions Act (Cap. 22).

In adherence to Section N of the Credit Policy, the Consumer Protection Act, and CBK market conduct guidelines, all debt recovery activities conducted by the Company, its staff, or authorized recovery agents must be fair, dignified, and lawful.

The Company strictly PROHIBITS its officers and agents from engaging in the following conduct:

• No Harassment or Threats: Using threats of violence, physical harm, or unlawful damage to a customer's person, reputation, or business property;
• No Abusive Language: Using profane, obscene, intimidating, or humiliating language in any verbal or written communication;
• STRICTLY NO PHONE CONTACT SCRAPING: Accessing a customer's phonebook, contact list, or personal media for debt collection purposes;
• STRICTLY NO PUBLIC SHAMING: Posting, sharing, or threatening to publish a borrower's name, photograph, or debt status on social media platforms, WhatsApp groups, or public noticeboards;
• No Unauthorized Third-Party Contact: Contacting uninvolved relatives, employers, neighbors, or third parties to shame or pressure the borrower;
• No Deceptive Representation: Impersonating public officers, court officials, police authorities, or regulatory bodies.

11.1 Information Sharing: In accordance with Part IV of the DCP Regulations and the Banking (Credit Reference Bureau) Regulations, 2020, the Company shares both positive and negative credit performance information with licensed Credit Reference Bureaus (CRBs).

11.2 Mandatory Consumer Protections:

• Minimum KSh 1,000 Threshold: The Company shall NOT submit negative credit information to any licensed CRB where the outstanding overdue amount is KSh 1,000 or less;
• Mandatory 30-Day Pre-Listing Notice: The Company will notify the borrower in writing (via SMS, email, or registered address) at least thirty (30) days prior to submitting adverse credit information to a CRB;
• Post-Listing Notification: The Company will confirm to the borrower within thirty (30) days after credit data has been submitted to a bureau;
• Right of Dispute & Correction: A customer who disputes the accuracy of credit information submitted to a bureau has the statutory right to lodge a complaint through the Crest Loan dispute desk for investigation and prompt rectification.

12.1 Compliance: The Company processes personal data in strict compliance with the Data Protection Act, 2019, Section 13 of the DCP Regulations, and applicable data privacy guidelines.

12.2 Permitted Purpose: Borrower personal information, national identity details, business verification data, and credit history are collected and processed solely for:

• Customer identification and KYC verification;
• Underwriting, credit assessment, and affordability checks;
• Disbursement and repayment processing;
• Fraud prevention and AML/CFT compliance;
• Regulatory reporting to the Central Bank of Kenya and licensed CRBs.

12.3 Non-Disclosure: The Company will never sell, lease, or unlawfully disclose customer personal information to unauthorized commercial third parties.

13.1 Field Officer Integrity: Crest Loan Field Officers operate under a strict Code of Ethics. Field Officers are strictly forbidden from:

• Soliciting or accepting any cash, fee, facilitation charge, or gift from any applicant or borrower;
• Altering, forging, or fabricating onboarding information, verification photos, or licence documents;
• Purporting to approve loans or making unauthorized promises regarding limits or interest rates;
• Disclosing customer information to unauthorized individuals.

14.1 Complaints Handling & Consumer Redress: Crest Loan maintains an accessible, dedicated dispute resolution procedure in accordance with Regulation 28 of the DCP Regulations. Customers may lodge complaints, billing inquiries, or disputes through:

• Email: support@crestloan.co.ke
• Telephone / WhatsApp: +254 797 849 393
• In-App Support: Direct Support Desk feature in the Crest Loan APK

All submitted complaints are logged, acknowledged within forty-eight (48) hours, investigated impartially, and resolved within statutory regulatory timelines.

14.2 Governing Law & Jurisdiction: This Agreement shall be governed by, construed, and enforced in accordance with the Laws of the Republic of Kenya. The parties submit to the regulatory authority of the Central Bank of Kenya and the jurisdiction of Kenyan courts.

14.3 Electronic Execution: By registering on the Crest Loan APK, submitting a digital loan application, and confirming acceptance with a security credential, the Borrower confirms having read, understood, and consented to be legally bound by these Terms and Conditions.