Asset finance is quoted as a clean monthly figure on the price of the car. In practice the tracker, the valuation, the insurance and the bank's fees get folded into the same loan — and you pay interest on every one of them, for the whole term.
Most Kenyan asset finance bundles the tracker, valuation, first-year insurance and fees into the amount borrowed, because few buyers have that cash on top of the deposit. Tap the second option to see what those same costs would be if you paid them yourself. Put your own insurance quote in above if you have one — it starts at a typical figure and follows the car's price until you type over it. Every other figure below is a typical estimate, not a quote — your dealer, insurer and bank set the real ones.
This is what actually gets added to the loan before the bank works out your repayment. Each line is real money, and each line earns the bank interest.
This is the part almost nobody notices. Fold a fee into a loan and it stops being a fee — it becomes debt, and debt costs interest for as long as the loan runs.
The bank quotes you one figure. Your bank account sees all of these, every month, for the whole term.
A car loses value from the day you drive it out. Your balance comes down on the bank's schedule, not the market's. For a while, you owe more than the thing is worth.
Comprehensive cover pays the market value of the car. It does not pay off your loan. The difference between the two is yours to find, and you no longer have a car.
| If it happens in | Car worth | You still owe | Shortfall you must pay |
|---|
Deposit, repayments, tracking, insurance and running costs across the full term, against what you are left holding.
| Year | Repaid | Off the loan | To interest | Still owing | Car worth |
|---|
This is an illustration, not a quote. Tracker, valuation, fee and running-cost figures are typical estimates you can change in the settings, and the insurance premium is yours to enter; later years assume you hold the same rate as the car depreciates; your dealer, insurer and bank set the real ones. Depreciation is modelled as a steeper fall in the first year and a gentler one after, which is the usual pattern; real cars vary widely by make, mileage and condition. The write-off figures assume an insurer settles at market value, which is the usual basis but not the only one. Check your own policy wording and offer letter.