No member is allowed to self-guarantee him or herself, but in the case that one has a savings amount higher than the loan applied, then one is required to have a minimum 3 guarantors or a maximum of 5 guarantors who don’t necessarily have to guarantee the amount requested. E.g. Jane has savings of Kshs 100000 and wants loan of Kshs 50000, she can get the loan by having 3 members with 0 savings listed as guarantors.
Two third of guarantors should be from the borrowers county of residence or business operation. E.g. If Jane has 5 guarantors, then 3 can be from her county of residence and 2 from other counties, if she has 3 guarantors, 2 can be from her county of residence and 1 from another county or instead she can choose to have all the guarantors from her county of residence.
A member who has taken a loan and already guaranteed three loans will not be accepted as a guarantor for another loan.
Obligation of previous guarantors shall cease when loans guaranteed have been fully repaid or upon change of guarantors.
All guarantors should be members of the Sacco and in good standing.
A member may use collateral such as motor vehicle log book, lease agreement or title deed as security.
All security offered must be in place and in possession of the Society before funds are disbursed

Loan Collateral