Loan Terms

All loans shall be applied for on forms provided by the society for the purpose. The loan application in each case shall set forth the amount applied for, the purpose for which the loan is desired, the terms of repayment, the security, if any, and such other information as the Society may require. A loan may be granted if the conditions for membership or savings are met as follows:

  • A member has completed at least six months in membership
  • The loan is fully guaranteed
  • A member who withdraws from the Society and rejoins at a later date will be treated as a new member for the purpose of the loan policy.
  • All required attachment for the loan form must be attached.
  • All necessary signatories have signed

Normal Loan

This is a loan for development purposes and is repayable in a period not exceeding 48 months.

1% interest is payable on monthly basis and on reducing balance

Emergency Loans

Emergency loans are granted to members for un-expected circumstances such as: sudden hospitalization, funeral expenses, court fines, and other unforeseen circumstances beyond the member’s control. The loan may be given to a member even when he/ she has an outstanding loan.

The term of the loan are as follows:

  • Payable within 48Hrs
  • 1% interest per month on reducing balance
  • Repayment period of 12 months
  • Maximum of Kshs. 100,000.00
  • Must attach the required documents

School Fees Loans

  • This loan is given to pay school fees and shall be paid directly to the school.
  • Members are entitled to one school fees loan in a year.
  • Interest is 1% per month on reducing balance.
  • This loan is repayable in a period not exceeding 12 months.
  • All outstanding loans (including school fees loans) shall not exceed three times a member’s shares and deposits.

Top-up /Refinancing Loan

  • All loan facilities can be topped-up except Product loan.
  • The member should have repaid the existing normal loan for at least six months.
  • Interest is 1% per month on reducing balance.
  • Repayment of this loan should end at the same time with the loan earlier taken and shall be granted within a member’s entitlement.

Product Loan

  • For purchase of other products, household goods, vehicles or land.
  • At higher interest rates than other loans
  • Interest 14% per Annum rates
  • Members to apply under the normal terms
  • To apply at least a year of servicing the normal development loan

M-Sasa Loan

  • It is an instant loan given to members.
  • The maximum amount given is Kshs. ten thousand (10,000/-)
  • Interest rate of 6.5% and is recoverable on the same month through check off system.

Short-term Loans

  • The minimum amount applicable is Ksh.1,000.00 and the maximum is Ksh.10,000.
  • Given to members as short-term loans at an interest rate of 10%
  • Calculated on straight line basis payable in a maximum of two months (Sixty Calendar Days).

Jipange Loan

  • A loan given to members of the Sacco who are on the payroll.
  • It is advanced to members when there is a delay of their salary.
  • Recoverable within the same month.
  • 5% interest rate

Salary Advance Loan

  • Members to apply under the normal terms
  • Members must be contributing shares and repaying their loans consistently
  • To get advance at of one’s basic pay subject to available shares
  • Interest rate 10% per month
  • Repayment period 1-3 months
  • Required 3 months’ pay slips and 3 months’ bank statements

Instant loan

  • Is a loan given instantly to members.
  • The maximum amount given is Kenya Shillings One hundred thousand (100,000.00/-)
  • Interest rate is 13.5% and is recoverable in a period of three months through check off system.