We have 3 types of normal loans:

a) Short term
  • Three times own savings
  • Should not have any short term loan
  • Minimum amount Kes 100,000/= and maximum of Kes 2,000,000/=
  • Repayment period of 48 months
  • Loan processing fee -1%
  • Interest rate of 1% per month reducing balance
  • Processed within two weeks
  • 12 months Bank/Mpesa Statement
b) Medium term
  • Should not have any other medium term loan
  • Loans between Kes 30,000/= and Kes 100,000/=
  • Repayment period maximum 24 months
  • Other terms as per short term normal loan
  • 12 months Bank/Mpesa Statement
c) Long term
  • One should not have any other long term loan
  • Maximum repayment period 48 months
  • Loan amount minimum Kes 100,000/= maximum Kes 2,000,000/=
  • Other terms as per the other normal loans
  • 12 months Bank/Mpesa Statement

To be eligible for a loan

.

  1. One must be a registered member having been active for a period of 6 consecutive months i.e. saving regularly.
  2. One should not have defaulted any of the loan previously.
  3. One should not have been involved /convicted for any criminal offence, not necessary in a court of law

In Addition:

  • All loans should be guaranteed a 100%.
  • All loans must be insured and insurance premium amount to be deducted to loans amount.
  • Insurance premium to be loaded to loan amount yearly on the basis of outstanding balance.
  • Maximum loans a person can guarantee is 9 people.
  • Loan repayment to be done regularly on monthly instalment basis and failure to repay attracts a penalty of shillings 200 on which underpaying attracts a penalty of ksh 150.
  • Guarantor must indicate the amount he or she commits and should not be above ones’ savings.
  • Processing fee to be deducted to loan amount.