This is an advance designed to enable members of the Chama, who are also members of the Sacco to get a quick loan for their individual personal development/projects.
Chama chapchap appreciates that as members save together, they also excel individually to enhance their economic and social well being.
- Advance size-maximum KShs.500,000
- Tenor-maximum 24 months
- Interest Rate: 1% per month on Reducing Balance
- Security: Guarantee by the Chama (Personal and Chama guarantee)
- Cash cover (Chama deposits put into lien with the same amount)
- Chama can cover 100% or a minimum of 50% for the member and member covers the balance
- Member must demonstrate ability to pay
- Chama registration certificate
- History of consistent monthly savings in the Chama Account used to determine ability
- Chama MUST have operated account for 6 Months
- MUST be an active member for the last 6 Months
- CRB history of Chama and its officials
- Recovery through Chama Account
- Direct payments allowed