🟡 LOAN PRODUCTS

Loans That Empower Dreams 🚀
1. NORMAL LOAN (DEVELOPMENT LOAN)
  • Maximum: 4 times member’s savings (shares + deposits)
  • Interest rate: 1% per month on reducing balance
  • Repayment period: Up to 60 months
  • Processing fee: 5% of loan amount
  • Insurance premium: As per insurer’s rates
  • Security: Guarantors or collateral
2. EMERGENCY LOAN
  • Maximum: 3 times member’s deposits
  • Interest rate: 1% per month on reducing balance
  • Repayment period: Up to 12 months
  • Processing fee: 5% of loan amount
  • Quick processing (within 24 hours)
  • Security: Member’s deposits
3. SCHOOL FEES LOAN
  • Maximum: 4 times member’s savings
  • Interest rate: 1% per month on reducing balance
  • Repayment period: Up to 36 months
  • Processing fee: 5% of loan amount
  • Available during school opening periods
  • Security: Guarantors
4. ASSET FINANCING LOAN
  • For purchase of vehicles, land, or equipment
  • Maximum: Up to Ksh. 5,000,000
  • Interest rate: 1% per month on reducing balance
  • Repayment period: Up to 60 months
  • Processing fee: 5% of loan amount
  • Security: Asset being financed plus guarantors
5. INSTANT LOAN (MOBILE LOAN)
  • Available 24/7 through mobile platform
  • Maximum: 3 times member’s deposits
  • Interest rate: 1.5% per month
  • Repayment period: 1-6 months
  • No processing fees
  • Instant disbursement
6. BUSINESS LOAN
  • For business expansion or working capital
  • Maximum: 4 times member’s savings
  • Interest rate: 1% per month on reducing balance
  • Repayment period: Up to 48 months
  • Processing fee: 5% of loan amount
  • Security: Business assets or guarantors

GENERAL LOAN REQUIREMENTS

  • Must be an active member for at least 6 months
  • Member’s savings must be up to date
  • No existing loan default
  • Duly completed loan application form
  • Valid guarantors or acceptable collateral

LOAN GUARANTORSHIP

GUARANTOR REQUIREMENTS

  • Must be an active member of the Sacco
  • Must have sufficient savings and deposits
  • Cannot guarantee beyond their guarantee limit
  • Must sign the loan guarantee form
  • Must have a valid ID

GUARANTEE LIMIT

Each member can guarantee up to 3 times their total savings (shares + deposits)

GUARANTOR’S OBLIGATIONS

  • To ensure the borrower repays the loan as agreed
  • To repay the guaranteed amount in case of default
  • To update the Sacco on any changes in their status
  • To honor the guarantee commitment

WITHDRAWAL OF GUARANTEE

A guarantor may withdraw their guarantee only:

  • Before loan disbursement
  • With the consent of the borrower
  • After providing an alternative guarantor

DEFAULT MANAGEMENT

In case of loan default:

  • Guarantors will be notified
  • Recovery will be made from guarantor’s savings
  • Legal action may be taken as a last resort