To Qualify For A Loan
- A member must have completed at least 6 months and contributed not less than Kshs. 6,000.
- A member who withdraws from the society and rejoins later will be treated as a new member for the purpose of the loan policy.
- Savings contributions paid in lump sum for the purpose of securing a loan must remain in the Sacco for at least 6 months.
- A member must undertake to pledge salary from future employer(s) toward loan repayment.
- Interest on all loans shall be 1% per month on a reducing balance basis.
- No member of Mhasibu Sacco shall belong to another Sacco except in accordance with section 18 of the Co-operative Societies Act of 1997.
- The maximum amount of total loans shall not exceed 15 million.
- Emergency loans include sudden hospitalisation, funeral expenses, court fines, etc.
- Repayment period is determined by Management Committee, but in all cases shall not exceed 48 months.
- Emergency and School fees loans shall be repaid within 12 months.
- Unless the loan applied for is equal to or less than a member's shares, it must be secured by guarantor's, log books, share certificates of quoted companies, insuarance policies or any other financial instrument that may be approved by the board.
- To withdraw membership, a member will be required to give a written notice of upto 60 days.
- A member will be required to maintain a monthly share contibution of not less than two thirds of his/her monthly contribution prior to the loan for at least six 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.
- Normal loan applications must be registered in the Society's offices by the 10th of every month.