kenya: KCB Customers Overdraw Accounts by $7.7 Million Due to System Glitch

 A recent system glitch at Kenya Commercial Bank (KCB) led to an unexpected situation in which customers were able to overdraw their accounts by a staggering $7.7 million. The incident allowed certain account holders to access funds beyond their account balances, sparking concerns and a rapid response from the bank.

The glitch, which occurred over a brief period, enabled customers to withdraw funds they did not have in their accounts, leading to temporary overdrafts. According to sources familiar with the incident, some customers took advantage of the malfunction, quickly transferring or withdrawing funds.

KCB has since assured customers and stakeholders that the issue has been resolved and is now taking steps to recover the overdrawn amounts. The bank has initiated a process to identify affected accounts and communicate with customers who unknowingly or intentionally withdrew excess funds during the incident.

In a statement, KCB acknowledged the issue, citing it as a rare system anomaly. "We regret any inconvenience caused and are working diligently to rectify this. We are committed to maintaining the highest standards of security and service for our customers,” the statement read.

This incident highlights the vulnerabilities that financial institutions can face in digital systems, even as banks invest heavily in technology to enhance services. KCB is reportedly reviewing its systems to prevent similar occurrences and is considering additional safeguards to protect both the bank and its customers from potential financial risks.

West Arekahme