Microfinace Investment

Microfinace Investment

This service is offered to unemployed or low income individuals or groups who would have no other access to financial services.

Product policy

Groups of 11 to 50 people

1. Every group should have members not less than 11 in number.
2. Every group must be registered with the Ministry of Social Services.
3. All must have regular income and they must know each other well. 4.They must be willing to save for eight weeks.
4. Each of them must be willing to save a minimum of Ksh250 per week.
5. The group must open an account with the SACCO. All members’ savings will be deposited in this A/C.
6. One will get a loan worth 4 times his/her savings.
7. Loan will be given to the 1st five members after the eight weeks.
8. The other members will be given their loan when the already loaned members have paid their 1st installments well.
9. 1st loan will not be more than Ksh20000, 2nd loan Ksh40000, 3rd loan Ksh60000.
10. Maximum loan will be Ksh 200,000.
11. The repayment period will be between 3 to 12 months. 13.There will be an appraisal fee of 2% on each loan. 14.Loan forms will be sold at Ksh50 only.
12. Insurance fee will be 1% of each loan amount taken.
13. Interest rate will be 1.5% per month.
14. No cheques will be issued. Every loanee must open an account with the SACCO for the loan disbursement.
15. Loan repayment will be on monthly basis.
16. There will be weekly meetings where each member will be required to contribute Ksh100 as savings. This will be after the 8 weeks.
17. All the individuals shall be required to be members of Wanandege Sacco Society ltd by buying minimum shares.

Groups of 4 to 7 people

1. They must be business people operating in one area.
2. They co-guarantee one another and one will get an amount equal to the total shares of the guarantors.
3. They must pledge their assets of which the other members and the Sacco attach and sell incase of default.
4. Their accounts with the Sacco must have been in operation for not less than three months.
5. Each individual must have shares worth 20% of the borrowed amount.
6. The Sacco officer must visit and assess their businesses.
7. Loan amount to be between ksh20, 000 to ksh200, 000 depending on the ability.
8. Period will be between 3 to 12 months.
9. Loan form will be sold at ksh50 only.
10. Appraisal fee will be 2% of the amount borrowed.
11. Insurance fee will be 1% of the amount borrowed.
12. Interest rate will be 1.5% per month.
13. Mode of repayment will be monthly.

Social Groups such as;

a).Football teams. b).Traditional dancers. c).Musicians. d).Welfare groups. e).And any other

1. Every group must be registered with the ministry of Social Services. 2)Group account must have been in operation for not less than six months.
2. Maximum loan to be an average total of 6 months deposits times the repayment period.
3. Every group must have the ability to repay the loan.
4. Loan to be guaranteed by the group officials and five members of the group. All must have minimum shares with the SACCO.
5. Every group should give a collateral which would be attached incase of default.
6. Every group should purchase 10% worth of shares of loan amount borrowed.
7. Loan form will be sold at ksh50 only
8. Appraisal fee will be 1% of the loan amount borrowed.
9. Interest rate will be 1.5% per month.
10. Repayment period will be between 3 to 12 months.

Registered businesses

1. The individual must be a mature Kenyan citizen.
2. He/she must have a licensed and well-established business.
3. His/her account with Wanandege Sacco must have been in operation for not less than six months, OR Can operate the account for three months and then produce a bank statement from other banks subject to approval by the management.
4. The individual must bring a collateral such as title deed, log booklet or pledge his/her movable assets.
5. Loan must be witnessed by three referees who are Sacco members.
6. The individual must have shares worth 20% of the borrowed amount.
7. Loan amount should be between ksh20, 000 to ksh500, 000 depending on the ability to pay.
8. Repayment period will be between 3 to 12 months.
9. Insurance fee will be 1% of the loan amount.
10. Appraisal fee will be 1% of the loan amount.
11. Interest rate will be 1.5% per month.
12. Loan will be repaid on monthly basis. 13)Loan form will be sold at ksh50 only.

Churches

1. The church must be registered or should have a mother church.
2. Account must have been in operation for not less than three months.
3. Maximum loan to be given should be an average total of three months deposits times the repayment period.
4. Repayment period should be between 3 to 12 months.
5. Each loan should be guaranteed by the church officials and five members of the church.
6. The loan must be approved by an official of the mother church ,eg Bishop
7. The church must have 10% worth of shares of the loan amount borrowed.
8. All church members must be informed of the intention to borrow the loan.
9. Minutes of the church committee approval to be attached to the loan form.
10. Loan form will be sold at ksh50 only.
11. Appraisal fee will be 1% of loan amount borrowed.
12. Interest rate will be 1.5% per month.

Registered Companies

1. Every company must have a certificate of registration.
2. Every company must have operated the SACCO account for not less than six months.
3. Location of the company must be well known by the SACCO officers.
4. Business assessment must be done by the SACCO officer before loan disbursement.
5. The company must have 20% worth of shares of the loan amount borrowed.
6. The company must give three guarantors who are SACCO members.
7. The company must give a collateral which would be attached incase of default.
8. Repayment period will be between 3 to 12 months.
9. Loan repayment will be on monthly basis.Appraisal fee will be 1% of the loan amount borrowed.
10. Interest rate will be 1.5% per month. Loan form will be sold at ksh50 only.