To Qualify For A Loan

  • No member of Mhasibu Sacco shall belong to another Sacco except in accordance with section 18 of the Co-operative Societies Act of 1997.
  • Every member is entitled to a maximum amount that shall not exceed 30 million.
  • A member must have completed at least 6 months and contributed the minimum Share Capital of KES 10,000 and saved not less than KES. 6,600, as deposits. (The minimum monthly deposit is KES 1,100)
  • Savings contributions paid in lump sum for the purpose of securing a loan must remain in the Sacco for at least 6 months.
  • Unless the loan applied for is equal to or less than a member’s deposits, it must be secured by guarantors’, log books, share certificates of quoted companies, insurance policies or any other financial instrument approved by the board.
  • Emergency and School fees loans shall all be repaid within 12 months.
  • A member must undertake to pledge salary from future employer(s) toward loan repayment.
  • Repayment period is determined by Management Committee, but in all cases shall not exceed 48 months.(This period is under review for increment).
  • Savings contributions paid in lump sum for the purpose of securing a loan must remain in the Sacco for at least 6 months.
  • Lump sum loan repayments for the purpose of borrowing a new loan must be retained in the Sacco for at least 3 months prior to borrowing again.
  • To withdraw membership, a member will be required to give a written notice of up to 60 days.
  • A member who withdraws from the society and rejoins later will be treated as a new member for the purpose of the loan policy.