In order to get timely credit, you must meet the credit criteria that have been set by the Sacco as below

  • Your credit report is a reflection of whether or not you have good credit character.
  • There should be no History of default.
  • Good financial credit character is displayed by someone who meets her/his financial obligations on time.
  • Even if you are sure that you are doing so, it is a prudent practice to check your CRB report at frequently to see whether everything is in order and your financial obligations appear as they exist in your credit report.
  • Suppose you are listed, clear with CRB and present your clearance certificate upon submission of your application.
  • Six months of consistency on minimum deposit contribution.
  • The member must not be a member of another Sacco.
  • When you make your loan application, the Sacco will ask you to submit a whole lot of income related documents such as your salary slips and IT returns. This is to judge whether you have adequate capacity or the ability to make a timely repayment of the loan.
  • The Sacco will only process your loan application after it is convinced that you will have enough cash left after paying off your current fixed monthly financial obligations.
  • How much of your income is left once you meet your other debt obligations and paying off your bills? This portion of your income stream will qualify as your cash flow, and the lender needs to be assured that you have enough of it before it approves your loan.
  • While assessing your loan eligibility, the Sacco will also look at your capital or the amount you have left after you have met your debt obligations. If you have a property in your name, it will work in your favour.
  • The lender needs to be assured that you have enough capital to fall back on to be able to handle new credit.

Collateral can be informed of   guarantor ship or other forms of collateral.

  • For loans secured by other members, they must be in good standing (no default, and loans guaranteed are not in default
  • Once again, your property, if you own any, can be shown as collateral when you are applying for a loan. In case you cannot make your debt repayments, your collateral will then go under the possession of the bank which will sell it off to repay your loan.
  • In order to assess your loan eligibility, the Sacco will also scrutinize other conditions such as the stability of your employment. If you have been job hopping too often, your instability will work against you. A prospective lender essentially looks for stability in your job profile and will not be impressed by frequent jumps in your career.
  • How much do you need to borrow?
  • How long do you anticipate will take for you to pay back?
  • Your monthly income and other credit repayments.
  • Urgency of the loan.
  • Security Availability