Legal
Terms of Service
Please read these Terms carefully before applying for a loan or using our services. They set out your rights and responsibilities and ours.
Jump to Section
- 1. Introduction and Acceptance
- 2. Definitions
- 3. Eligibility
- 4. Our Services
- 5. Loan Application and Assessment
- 6. Loan Terms, Interest, and Fees
- 7. Repayment
- 8. Default and Collections
- 9. Platform and Account Security
- 10. Acceptable Use
- 11. Intellectual Property
- 12. Disclaimers
- 13. Limitation of Liability
- 14. Indemnification
- 15. Dispute Resolution
- 16. Amendments
- 17. General Provisions
- 18. Contact Information
1. Introduction and Acceptance
These Terms of Service (“Terms”) govern your access to and use of the services offered by Axe Micro-Enterprise Ltd. (“Axe”, “we”, “us”, or “our”), a microfinance company incorporated in Kenya. Our services include loan products, our digital platform, website, and any related support services (collectively, the “Services”).
By submitting a loan application, creating an account, or otherwise using our Services, you confirm that you have read, understood, and agree to be bound by these Terms and our Privacy Policy. If you do not agree, please do not use our Services.
These Terms are effective as of 26 March 2026 and supersede all prior versions. Your continued use of our Services following any update to these Terms constitutes acceptance of the revised version.
2. Definitions
In these Terms, the following definitions apply:
3. Eligibility
To be eligible to apply for our Services, you must:
- ABe at least 18 years of age
- BBe a Kenyan citizen, legal resident of Kenya, or a business entity duly registered under Kenyan law
- CHold a valid National Identity Card, passport, or business registration certificate
- DHave an active mobile phone number registered in your name
- EHave an active bank account or M-Pesa account capable of receiving loan disbursements
- FNot be an undischarged bankrupt or subject to ongoing insolvency proceedings
- GNot have an unresolved outstanding negative CRB classification at the time of application
Axe reserves the right to verify your eligibility, request additional documentation, and decline any application at its sole and absolute discretion. Meeting the eligibility criteria does not guarantee approval.
4. Our Services
Axe offers a range of credit and financial support products designed for Kenya's micro and small business operators, including:
Working Capital Loans
Short-term financing for traders, retailers, and service providers to cover stock, operations, and daily business expenses.
Agricultural Finance
Tailored lending for smallholder farmers and agribusinesses covering inputs, equipment, and seasonal working capital.
Asset Finance
Structured loans to help businesses acquire productive assets, equipment, and tools without straining cash flow.
Supplier Credit
Credit facilities designed to support inventory procurement and supply chain financing needs.
Digital Credit Lines
Revolving credit products for repeat borrowers with an established repayment track record with Axe.
Financial Advisory
Practical guidance to help borrowers manage credit effectively, plan repayments, and grow their businesses.
The availability, eligibility criteria, and specific terms of each product may vary and are subject to change. Axe does not guarantee that any particular product will be available to any specific applicant.
5. Loan Application and Assessment
5.1 Application Process
You may apply for a loan through our website, digital platform, or through a designated Axe representative. You are required to provide accurate, complete, and current information, including identity documents, business records, financial statements, and any other materials we request. Submitting false or misleading information is grounds for immediate rejection and may constitute a criminal offence under Kenyan law.
5.2 Credit Checks and Assessment Authorizations
By submitting an application, you authorize Axe to:
- AObtain your credit report from one or more licensed CRBs
- BVerify your identity and business details with relevant government registries and authorities
- CUse automated credit scoring models as part of the assessment process
- DRequest supplementary information or documentation at any stage of assessment
5.3 Approval, Decline, and Disbursement
Axe's credit decision is final. We are not obligated to provide detailed reasons for declining an application. Approval of one loan does not guarantee approval of future applications. Approved amounts will be disbursed to the bank account or M-Pesa number specified in your application, typically within 1–3 business days of final approval and completion of all verification requirements.
6. Loan Terms, Interest, and Fees
The specific interest rate, fees, repayment schedule, and all other financial terms applicable to your loan will be set out in your individual Loan Agreement. The following general principles apply across all products:
6.1 Interest Rate
Interest is calculated on a declining balance basis over the agreed loan tenure. The applicable rate will be clearly disclosed in your Loan Agreement before disbursement, in full compliance with CBK guidelines on transparent interest rate disclosure.
6.2 Fees
The following fees may apply depending on your loan product:
| Fee | Description |
|---|---|
| Loan Processing Fee | A percentage of the approved loan amount, deducted at disbursement or payable upfront. |
| Late Payment Fee | Charged for each instalment not received by the due date. |
| Early Repayment Fee | May apply if you settle your loan ahead of the agreed maturity date. Details in your Agreement. |
| Account Maintenance Fee | Applicable on active revolving credit lines where specified. |
We do not charge hidden fees. All applicable fees are disclosed in your Loan Agreement before signing.
6.3 Total Cost of Credit Disclosure
Before you sign any Loan Agreement, we will provide a clear statement showing the total amount payable, including principal, total interest over the loan tenure, and all applicable fees. This enables you to make a fully informed borrowing decision.
7. Repayment
7.1 Repayment Schedule
Your repayment schedule is set out in your Loan Agreement. You are solely responsible for ensuring that repayments are made on or before each due date, regardless of whether you receive a reminder from us.
7.2 Repayment Methods
You may repay your loan through any of the following channels:
- M-Pesa (Paybill or till number as communicated in your Loan Agreement)
- Bank transfer to our designated account
- Standing order or direct debit where arranged with your bank
7.3 Prepayment
You may settle your loan in full at any time before the agreed maturity date. Early repayment fees, where applicable, will be set out in your Loan Agreement. Where no early repayment fee applies, prepayment reduces your total interest obligation on a pro-rated declining balance basis.
7.4 Allocation of Payments
All payments received will be applied in the following order: (1) outstanding fees and charges; (2) accrued interest; (3) principal outstanding. If you are in arrears, all payments will first be applied to overdue amounts before reducing the current balance.
8. Default and Collections
8.1 Events of Default
You will be considered in default if you:
- AFail to make any repayment instalment on or before its due date
- BProvide false, misleading, or fraudulent information in your application or at any time during the loan period
- CBecome insolvent, are declared bankrupt, or are subjected to administration proceedings
- DFail to comply with any other material obligation under your Loan Agreement
8.2 Consequences of Default
On default, Axe may exercise one or more of the following remedies:
- ACharge late payment fees as set out in your Loan Agreement
- BDeclare the entire outstanding balance immediately due and payable
- CEngage debt collection partners to recover the outstanding amount
- DSubmit adverse credit information to one or more licensed CRBs, which may affect your ability to obtain credit from any lender in Kenya
- EPursue legal action to recover the full outstanding debt, including legal costs and interest
8.3 CRB Reporting
In compliance with CBK/RG/02 regulations, we are required to report adverse credit information to CRBs for accounts that are 90 days or more past due. We will endeavour to notify you before making such a report. Borrowers listed on a CRB may apply for delisting upon full settlement and issuance of a clearance certificate, in accordance with applicable CRB regulations.
Experiencing Financial Difficulty?
If you are facing genuine financial hardship and cannot meet your repayment obligations, please contact us as early as possible. We will consider restructuring options, payment holidays, or other supportive arrangements at our discretion. Early communication significantly improves outcomes for borrowers in difficulty.
9. Platform and Account Security
9.1 Account Credentials
Where you have been issued login credentials for our Platform, you are responsible for maintaining their confidentiality. You must not share your username, password, or PIN with any third party. You are responsible for all activity that occurs under your account unless you have promptly reported unauthorized access to us.
9.2 Reporting Security Incidents
If you suspect unauthorized access to your account, unauthorized use of your credentials, or any other security incident, you must notify us immediately at info@axemicroenterprise.co.ke or call +254 707 632 578. We will investigate and take appropriate remedial action.
9.3 Platform Availability
We aim to keep the Platform available at all times but do not guarantee uninterrupted access. Planned maintenance, technical faults, or third-party outages may temporarily affect availability. We will not be liable for losses arising from Platform unavailability except where required by applicable law.
10. Acceptable Use and Prohibited Conduct
You agree not to engage in any of the following:
- AProviding false, misleading, or fraudulent information in any application, document, or communication
- BApplying for multiple concurrent loans with Axe without fully disclosing all existing financial obligations
- CUsing loan proceeds for purposes materially different from those stated in your application
- DUsing our Platform for unlawful purposes, including money laundering, fraud, tax evasion, or financing of terrorism
- EAttempting to circumvent, disable, or interfere with any security, identity verification, or access control mechanism
- FHarassing, threatening, or abusing Axe staff, agents, or other customers
- GReproducing, distributing, or commercially exploiting any content from our Platform without prior written permission
- HReverse engineering, decompiling, or attempting to extract source code from our software or systems
Breach of this section may result in immediate suspension or termination of your account and all associated facilities, recovery of any outstanding amounts, and referral to law enforcement or other relevant authorities.
11. Intellectual Property
All content published on our Platform and in our communications — including the Axe Micro-Enterprise name and logo, written materials, data, software, user interface designs, and visual elements — is the exclusive property of Axe Micro-Enterprise Ltd. or its licensors, and is protected under Kenyan and international intellectual property laws. Nothing in these Terms grants you any ownership or licence rights beyond what is strictly necessary to use our Services for their intended purpose.
12. Disclaimers
To the fullest extent permitted by applicable Kenyan law:
- Our Services are provided "as is" and "as available" without warranties of any kind, express or implied.
- We do not warrant that our Platform will be error-free, uninterrupted, or free of viruses or other harmful components.
- Any financial advisory content or educational material we provide is for general information purposes only and does not constitute regulated financial advice, legal advice, or a recommendation to take any particular action.
- We are not responsible for the actions, failures, or delays of third-party payment processors, mobile network operators, or other service providers involved in disbursement or repayment.
13. Limitation of Liability
To the maximum extent permitted by applicable law, Axe's total aggregate liability to you for any claims arising out of or relating to these Terms or your use of our Services shall not exceed the principal amount of your most recent active Loan at the time the claim arises.
In no event shall Axe be liable for:
- Loss of profits, revenue, business opportunity, or anticipated savings
- Indirect, incidental, special, consequential, or punitive damages
- Losses arising from CRB listings made in accordance with applicable regulations following a default
- Losses arising from your failure to maintain the security of your account credentials
- Losses arising from third-party payment failures or network outages beyond our reasonable control
Nothing in these Terms excludes or limits our liability for fraud, gross negligence, wilful misconduct, or death or personal injury caused by our negligence, as prohibited by Kenyan law.
14. Indemnification
You agree to indemnify, defend, and hold harmless Axe Micro-Enterprise Ltd., together with its directors, officers, employees, agents, and successors, from and against any and all claims, losses, liabilities, damages, costs, and expenses (including reasonable legal fees) arising out of or in connection with:
- AYour breach of these Terms or any Loan Agreement
- BYour provision of false, misleading, or fraudulent information at any time
- CAny fraudulent, unlawful, or negligent conduct on your part
- DYour violation of any applicable law or regulation
- EYour infringement of any third-party rights
15. Dispute Resolution
15.1 Internal Resolution
If you have a complaint or dispute relating to our Services or a Loan Agreement, please contact us in the first instance at info@axemicroenterprise.co.ke or call +254 707 632 578. We will acknowledge your complaint within 5 business days and endeavour to resolve it within 21 business days.
15.2 Regulatory Escalation
If your complaint is not resolved to your satisfaction through our internal process, you may escalate it to the Central Bank of Kenya under its Consumer Protection Framework at www.centralbank.go.ke, or seek mediation through a recognized Alternative Dispute Resolution (ADR) provider in Kenya.
15.3 Governing Law and Jurisdiction
These Terms and all Loan Agreements are governed exclusively by the laws of the Republic of Kenya. Any disputes not resolved through internal or regulatory channels shall be subject to the exclusive jurisdiction of the courts of Nairobi, Kenya.
16. Amendments to These Terms
We may update these Terms from time to time. We will notify you of material changes by posting the updated Terms on this page with a revised effective date, and where appropriate by direct communication via your registered email address or phone number. Your continued use of our Services after the effective date of any update constitutes your acceptance of the revised Terms. If you do not agree with any update, you should stop using our Services. No amendment to these Terms affects rights and obligations that arose before the effective date of the change.
17. General Provisions
Severability. If any provision of these Terms is found to be invalid, illegal, or unenforceable under Kenyan law, that provision will be modified to the minimum extent necessary to make it enforceable. All remaining provisions will continue in full force and effect.
Entire Agreement. These Terms, together with your individual Loan Agreement and our Privacy Policy, constitute the entire agreement between you and Axe with respect to our Services and supersede all prior oral or written agreements, representations, and understandings.
Waiver. Our failure to enforce any right or provision of these Terms shall not constitute a waiver of that right or provision on any future occasion.
Assignment. You may not assign or transfer your rights or obligations under these Terms without our prior written consent. We may assign our rights and obligations to any affiliate or successor entity without restriction.
18. Contact Information
For all enquiries relating to these Terms, loan applications, or your account:
Axe Micro-Enterprise Ltd.
Nairobi, Kenya
Email: info@axemicroenterprise.co.ke
Phone: +254 707 632 578
Hours: Monday–Friday 8:00 AM – 5:00 PM | Saturday 9:00 AM – 1:00 PM
Related Legal Documents
Your use of our services is also governed by our Privacy Policy.