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Wanjiku's banks interest rate suit
Rank: Elder Joined: 12/9/2009 Posts: 6,592 Location: Nairobi
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Anxiety for banks as court set to rule on interest rate suitSomeone please explain this law suit. I have been a victim in the past as well of our banks punitive rates and I have all the statements and need to know if I should give madam Wanjiku a call.
BBI will solve it :)
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Rank: Elder Joined: 12/7/2012 Posts: 11,908
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It is Wanjiku's turn to eat. You think for her to allow you to be enjoyed it the suit will be free... hapo ni mpesa 1% of your claim minimum 1k! In the business world, everyone is paid in two coins - cash and experience. Take the experience first; the cash will come later - H Geneen
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Rank: Veteran Joined: 7/5/2010 Posts: 2,061 Location: Nairobi
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Jesus, this is big! Imagine, all interest revenues, financial results, for a decade, declared illegal  Will the judge rule fait accompli and issue directives or bring down the sword of Damocles upon these greedy, filthy banks? God please hear us. Let these monsters pay!
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Rank: Veteran Joined: 2/3/2012 Posts: 1,317
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My wife worked in a bank. She says they have been provisioning incase of a negative outcome in this case since 2003.
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Rank: Chief Joined: 8/4/2010 Posts: 8,977
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Quote:Mr Kibaki said the adjusted accounts would result in losses or lower profits and the Treasury would be required to refund large sums of corporation taxes paid on the basis of profits earlier declared. If indeed this goes the class action suit way, the dent on the balance sheets of the banks with a treasury out of sorts will indeed put a huge rod in the econ wheels... $15/barrel oil... The commodities lehman moment arrives as well as Sovereign debt volcano!
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Rank: Veteran Joined: 7/5/2010 Posts: 2,061 Location: Nairobi
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hisah wrote:Quote:Mr Kibaki said the adjusted accounts would result in losses or lower profits and the Treasury would be required to refund large sums of corporation taxes paid on the basis of profits earlier declared. If indeed this goes the class action suit way, the dent on the balance sheets of the banks with a treasury out of sorts will indeed put a huge rod in the econ wheels... I dont have the figures and math here but are corporate taxes paid by banks that big in KRAs revenue pool? I would hazard not, and perhaps that might be offset by the overcharged interest on govts domestic borrowing. In any case, the govt can take the option of not refunding overstated tax returns and use them to adjust future tax returns. KRA already does this often when it is agreed a company paid more tax than was its due. Walipe! The interest regime is just crazy and its not market forces or risk at work here. Even permanently employed people whose deductions are made at source are hit for ~15% loan and mortgage rates on average (sensible countries are at approx 4%!) ...where is the risk here? Ni cartels. Banking in Kenya needs a painful lesson.
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Rank: Elder Joined: 12/7/2012 Posts: 11,908
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Class action is like mass action. Just imagine the impact including personal loans. I pray Wanjiku doesnot win restrospective but judgment made for future benefits of the common man. my blonde cents/reasoning In the business world, everyone is paid in two coins - cash and experience. Take the experience first; the cash will come later - H Geneen
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Rank: Chief Joined: 8/4/2010 Posts: 8,977
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Angelica _ann wrote:Class action is like mass action. Just imagine the impact including personal loans. I pray Wanjiku doesnot win restrospective but judgment made for future benefits of the common man.
my blonde cents/reasoning http://www.lieffcabraser.com/About-Us/Class-Action-FAQ/
$15/barrel oil... The commodities lehman moment arrives as well as Sovereign debt volcano!
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Rank: Elder Joined: 5/27/2008 Posts: 3,760
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Meanwhile the UK have imposed negative interest rates for deposits, yaani ukideposit kwa account yako, bank inachukua pesa..... http://m.bbc.com/news/business-27717594
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Rank: Elder Joined: 2/26/2012 Posts: 15,980
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hisah wrote:Angelica _ann wrote:Class action is like mass action. Just imagine the impact including personal loans. I pray Wanjiku doesnot win restrospective but judgment made for future benefits of the common man.
my blonde cents/reasoning http://www.lieffcabraser.com/About-Us/Class-Action-FAQ/
So how did it go? Should I expect some refund in my accounts? This will be awesome. "There are only two emotions in the market, hope & fear. The problem is you hope when you should fear & fear when you should hope: - Jesse Livermore
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Rank: Veteran Joined: 7/5/2010 Posts: 2,061 Location: Nairobi
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You misunderstood sir. The negative rates is for commercial banks parking money in central banks like ECB, not customers to commercial banks. If the latter happened you would see a mass exodus of cash to other instruments or banks outside the eurozone leading to malaise in European banking.
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Rank: Chief Joined: 5/31/2011 Posts: 5,121
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Law is an ass!!! ... If such a suit go through ALL kenyan banks will die
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Rank: Elder Joined: 11/7/2007 Posts: 2,182
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the court now allows other petitioners to join in the case, i am loving this LOVE WHAT YOU DO, DO WHAT YOU LOVE.
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Rank: Elder Joined: 3/29/2011 Posts: 2,242
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Let us also not forget that a loan is a contract. When you sign a contract the terms of the contract will bide you,however punitive they may be.I have too borrowed from a bank when the rates were like 24% and i would not like to re-live those painful payments. I learnt my lesson. I am sure the lawyers will be happy buy wanjiku will undergo the pain a second time. Kama watu wa pyramid schemes are still around and the lossers have died slowly, the law is as ass! "Things that matter most must never be at the mercy of things that matter least." Goethe
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Rank: New-farer Joined: 8/7/2012 Posts: 39
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I don't know how this will pan out but let us not forget that banks have a long time held everyone at ransom including including governments all over the world. I am not sure how much banks raked in in illegal charges over the period in question but a similar situation obtained in the UK 2 years ago. In the UK the banks were mis-selling loan and credit card insurance (known as payment protection insurance (PPI))to everyone who took up a loan or credit card with them. PPI is supposed to be optional. Now they're paying back all the premiums of these payments because courts ruled that it was illegal to charge them without the customer's consent. The total payouts were estimated to be over GBP5 billion (~Ksh.750 billion) which the banks have been paying to their customers. Let's wait and see what happens in the Kenyan case.
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Rank: Elder Joined: 3/2/2009 Posts: 26,328 Location: Masada
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kyt wrote:the court now allows other petitioners to join in the case, i am loving this if @wanjiku wins and I'm not enjoined in the suit do I stand a chance to gain also? Portfolio: Sold
You know you've made it when you get a parking space for your yatcht.
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Rank: Member Joined: 1/24/2013 Posts: 325
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hisah wrote:Quote:Mr Kibaki said the adjusted accounts would result in losses or lower profits and the Treasury would be required to refund large sums of corporation taxes paid on the basis of profits earlier declared. If indeed this goes the class action suit way, the dent on the balance sheets of the banks with a treasury out of sorts will indeed put a huge rod in the econ wheels... And the chick will not enjoy that payout..this is Kenya...they'll offer her something on the side and she'll step aside. Just my 5 cents..
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Rank: Member Joined: 6/14/2010 Posts: 521 Location: Nairobi
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Rank: Elder Joined: 4/22/2010 Posts: 11,522 Location: Nairobi
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ChumsQuest wrote:hisah wrote:Quote:Mr Kibaki said the adjusted accounts would result in losses or lower profits and the Treasury would be required to refund large sums of corporation taxes paid on the basis of profits earlier declared. If indeed this goes the class action suit way, the dent on the balance sheets of the banks with a treasury out of sorts will indeed put a huge rod in the econ wheels... And the chick will not enjoy that payout..this is Kenya...they'll offer her something on the side and she'll step aside. Just my 5 cents.. My friend there are people who cannot be bought no matter how many zeros you throw at them... possunt quia posse videntur
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Rank: Elder Joined: 2/26/2012 Posts: 15,980
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Businessman Horatius Da Gama Rose has been enjoined in a class action suit in which hundreds of bank clients are seeking compensation for interest rates charged on loans without the Finance minister’s approval. Justice Francis Gikonyo Thursday enjoined Mr Da Gama Rose to the suit alongside 186 others seeking to prove that their banks charged interest on their accounts without the Finance minister’s approval, which is against Kenya’s banking laws. The suit was filed by Rose Florence Wanjiru in 2003. http://www.businessdaily...6/-/axrs6p/-/index.html
12 years.....this is so unfair "There are only two emotions in the market, hope & fear. The problem is you hope when you should fear & fear when you should hope: - Jesse Livermore
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Wanjiku's banks interest rate suit
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