Kenya’s money reality in Q2 2025: Tighter wallets, smarter habits, and more scams

Kenyan households headed into mid 2025 with cautious optimism, but the day to day reality is still tough. TransUnion’s Q2 2025 Consumer Pulse for Kenya shows six in ten consumers expect to miss at least one bill or loan in full in the coming quarter. At the same time many are actively paying down debt, padding emergency savings, and taking on side hustles to cope. The picture is of strain, yes, but also of discipline and resilience.

Missed bill risk rises, households adjust fast

Six in ten consumers say they may not pay at least one obligation in full over the next three months. To bridge gaps, 48 percent plan to take gig or temporary work, 34 percent will draw from savings, and 30 percent expect support from friends or family according to the press release. Even under pressure, households are making defensive moves. In the past month, 40 percent paid down debt faster and 46 percent increased emergency savings, five points higher than the same time last year.

Spending cools under inflation, jobs and housing worries

Inflation tops the list of concerns at 76 percent, followed by job security at 60 percent and housing affordability at 55 percent. Budgets are already shifting. Sixty one percent cut discretionary spending in the last three months and 55 percent expect to cut further in the quarter ahead. Forty two percent anticipate reducing in store or online retail spend, while 49 percent plan to delay large purchases. For wider context on how these pressures shape product choices and borrowing habits, see our explainer on why mobile loans are booming even as credit tightens.

Fraud attempts climb, especially for the middle income segment

Fraud remains a defining risk as more transactions move online. In Q2, 71 percent of respondents say they were targeted by scams across online, email, calls or SMS, and 10 percent say they were targeted and scammed. Medium income consumers report the highest exposure at 77 percent. The most common schemes are vishing at 46 percent, money or gift card scams at 45 percent, phishing at 40 percent, smishing at 39 percent, and third party seller scams on legitimate retail sites at 36 percent.

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These patterns match what we have tracked over the past year. Kenya ranks among the world’s leaders for suspected digital fraud attempts, with retail a standout hotspot. See our earlier report, Kenya leads in retail fraud attempts. For a consumer lens on safer habits, our coverage of Visa’s Stay Secure study shows precautions are rising alongside exposure, read it here, Kenyans lead in scam exposure as 97 percent now take security steps.

Credit monitoring is up, but access still feels tight

Two thirds of consumers, 65 percent, monitor their credit at least monthly. They do so to improve scores, check accuracy, discover qualifying offers, and guard against fraud. Yet many still feel shut out. Only about a third say they have sufficient access today, even though most say credit access matters for their goals, and a large share intend to apply in the next 12 months. High costs and fear of rejection keep many from completing applications.

For younger and first time borrowers, education and tools matter. We recently outlined why defaults have been rising and highlighted simple steps to start building better credit health. Read more in, Why young Kenyans are defaulting on mobile loans, and the free app that can help.

What this means for lenders and fintechs

• Price and transparency win. High borrowing costs are a top reason for application abandonment. Clear total cost estimates, upfront fees, and early hardship options can reduce drop offs and improve repayment outcomes.
• Target the right fraud controls. Identity proofing at onboarding, risk based authentication on risky sessions, and customer education for vishing and retail marketplace scams should be baseline. Link product security pages to guidance that explains specific scam types in simple language.
• Meet consumers where they are. Embed credit monitoring tips, free score checks, dispute flows, and budgeting nudges directly inside banking and lending apps.
• Design for volatility. Many consumers are juggling income shocks. Offer flexible repayment dates, small top ups, and budgeting tools that visualise upcoming bills.
• Use alternative data responsibly. Verified signals such as rent or utility payments can widen access without increasing risk if used with clear consent and explainability.