Wambia v Co-operative Bank of Kenya Limited (Civil Appeal 168 of 2020) [2025] KECA 1644 (KLR) (3 October 2025) (Judgment)
- Court
- Court of Appeal
- Case number
- 1644
- Citation
- [2025] KECA 1644 (KLR)
- Decided
- 3 October 2025
The High Court's findings regarding the referral to the credit reference bureau were not supported by evidence and law, and were therefore in error.
Facts
The appellant, Wambia, was declared redundant in January 2011 while servicing a loan advanced by the respondent, Co-operative Bank of Kenya Limited. The bank referred him to a credit reference bureau as a defaulter without prior formal communication. Wambia claimed he had cleared the principal loan and paid the respondent the amount due.
Issues
- Whether the appellant had repaid his loan
- Whether he was unfairly referred to the credit reference bureau
Reasoning
The court found that the required procedure for addressing inaccuracies in credit information was not followed, leading to the referral of the appellant to the credit reference bureau.
Outcome
The appeal is merited, and the judgments are set aside. The respondent is ordered to update the appellant's credit information and comply with the procedure set out in the Banking (Credit Reference Bureau) Regulations 2020.
Orders
- Respondent to update appellant's credit information with relevant credit reference bureaus
- Respondent to comply with procedure set out in Banking (Credit Reference Bureau) Regulations 2020
Remedies
- Nominal general damages of Kshs.100,000/- to the appellant as against the respondent
- Costs of the suit in the trial Court, of the appeal in the High Court and of this appeal
Authorities cited
Legislation (1)
- Banking (Credit Reference Bureau) Regulations 2020
Cases cited (1)
- Regulation 18 of the Banking (Credit Reference Bureau) Regulations 2020
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