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Retired Banker Loses Home after Cousin He Guaranteed Fails to Pay Shylock KSh 12 Million Loan

Retired Banker Loses Home after Cousin He Guaranteed Fails to Pay Shylock KSh 12 Million Loan

An elderly man alongside his wife was thrown out of his home after his kin could honour a debt owed to a shylock.

Identified as Francis William Balyokwayibwe, the 68-year-old and who is a retired banker had been used as a guarantor in a loan secured by his cousin from the shylock.

William was a manager at Stanbic Bank in Uganda from 1977 to 2005 when he retired.

Barbra is said to have used the retired banker’s title to secure a KSh 2.2 million loan from the said money lender in July 2018.

According to reports, the loan taken from Doreen was to be repaid monthly at a constant 20% interest.

The loan was to be used by Barbra’s family in a cereal export business .

However, the family defaulted on the loan for almost a year which accumulated to 210 million Shillings. PAY ATTENTION: Install our latest app for Android, read best news on Kenya’s #1 news app

After a series of discussions, the loaner and the loanee managed to negotiate a reduction which brought the loan value and interest to KSh 5.6 million from the initial KSh 6.5 million.

With the pressure to clear the outstanding KSh 5.6 million loan, Barbra engaged a different money lender from whom she secured KSh 6.8 million which she intended to use in clearing the first loan and channelling the balance to their struggling cereal business.

The family failed to service both loans prompting the lenders to seek the intervention of the courts.

The loans have now taken a toll on William and his wife after guaranteeing their cousin, Barbra.The couple says that right now, they cannot access their home after court bailiffs kicked them and their belongings out of the house over non-payment of the loans which have now accumulated to KSh 12.4 million.The family was evicted on the basis of an order issued on May 18, 2021, from Nabweru Chief Magistrates Court to Shrewd Solutions Limited, indicating that Balyokwayibwe, a tenant in Mutabaazi’s house had failed to pay rent for more than a year.Barbra said she was expecting a lot of money and shared a plan with William who agreed to the loan agreement at the time, and offered his land title for the same.She says that the initial loan was also shared between the two families, but was also not enough to clear the challenges that the family had at the time, forcing them to pursue additional […]

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