How Much Does Tala Charge in Interest?
In Kenya, Tala charges about 0.3% to 0.6% daily interest set by your profile, with no processing fee but 20% excise on the interest. Limits reach KES 50,000 over up to 120 days. A KES 10,000 loan at 0.3% a day for 30 days repays about KES 11,080. Repay early to pay less.
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Quick answer: In Kenya, Tala charges daily interest of about 0.3% to 0.6%, set by your borrower profile, with no separate processing fee but 20% excise duty added to the interest. Loans run up to KES 50,000 over terms of up to 120 days. Because the interest is daily, the total cost depends on how long you keep the loan: clear it quickly and it is cheap, hold it toward 120 days and it adds up.
How Tala's charge works
Tala prices each loan individually using daily interest of roughly 0.3% to 0.6%. There is no upfront processing fee, but Kenya's 20% excise duty applies to the interest you are charged. Your rate, limit and term are shown in the app before you accept, so check them against the figures here.
A worked example
On a KES 10,000 loan at 0.3% a day held for 30 days, the interest is about KES 900, plus 20% excise of about KES 180, so you repay roughly KES 11,080. At the higher 0.6% daily rate the interest doubles, so your exact rate matters, and the shorter the term, the less you pay.
| Tala (Kenya) | |
|---|---|
| Interest | About 0.3% to 0.6% per day |
| Loan limit | Up to KES 50,000 |
| Term | Up to 120 days |
| Processing fee | None |
| Excise duty | 20% of the interest |
Is Tala expensive?
Compared with the M-Pesa products and the Hustler Fund, Tala costs more, but it can lend more and over a longer term. For the cheapest options see which loan app has the lowest interest rate, and to compare Tala directly with its closest rival read Tala vs Branch. Whatever you borrow, work out the total repayment with our total cost calculator first.
Keep the cost down
Borrow only what you need, repay early because the daily interest stops accruing once the loan clears, and build your limit by repaying on time. Tala reports to the credit bureaus, so on-time repayment helps your record and a default can be listed.
Frequently asked questions
How much does Tala charge in Kenya?
About 0.3% to 0.6% daily interest, set by your profile, plus 20% excise on the interest and no separate processing fee. A KES 10,000 loan for 30 days at 0.3% a day costs roughly KES 1,080 in total.
Does Tala charge a processing fee?
No. The cost is the daily interest plus 20% excise duty on that interest. There is no separate upfront processing fee.
How can I lower what Tala charges?
Repay early, since the interest is daily and stops when the loan clears, and borrow only what you need. Your rate also improves as you build a repayment history.
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