Below are important details about Kencream Sacco:

 Kencream Sacco Membership Requirements

How To Register

Membership form duly filled and signed. Attach copy of ID,KRA pin and Passport photo.

Deductions should be done as follows: –

• Registration fee of Kshs. 1000 payable once.

• Share Capital. Every Member of the Sacco Contributes Gradually towards the share capital a minimum of Ksh.15,000 (this amount while non-refundable, is an excellent account for long term savings with attractive dividends and is transferable upon withdrawal of membership).
• Minimum monthly deposit contribution of Kshs1500

• Benevolent Fund contribution of Kshs. 200

Saving Products

Deposit Savings

This is an account for long term savings done on a monthly basis with an attractive return on investment.It offers members flexibility to adjust monthly savings as and when the need arises.It also enables the member to access affordable loans at attractive interest rates.It also helps members accumulate savings for retirement.The minimum contribution for permanent employees is Ksh. 3000 and Ksh. 1500 for casual employees.

Deposit Savings Benefits

This is an account for long term savings done on a monthly basis with an attractive return on investment. Benefits include:

Flexible Savings

It offers members flexibility to adjust monthly savings as and when the need arises.

Attractive Loan Interest Rates

Enables access to affordable loans at attractive interest rates

Retirement Plan

Monthly deposits helps members accumulate savings for retirement.

Share Capital Savings

This represents a member’s portion  of equity in the society.Each Member must own the minimum Share Capital of 15,000.Shares are not refundable or assignable as collateral for a loan but a member may transfer his her shares to other members.This is an excellent account for long term savings with attractive dividends.

Share Capital Benefits

There are a couple of benefits attached to kencream SACCO’s share capital as outlined below.

LONG TERM

This is an excellent account for long term savings with attractive dividends.

TRANSFARABLE

Members are allowed to transfer their shares to other members.

DIVIDEND

One is entitled to receive a dividend from Kencream SACCO as one of the main sources of your return on investment.

Plan Early For Your Christmas Holiday!

This is a voluntary saving plan for Christmas Holidays.It is withdraw able once at the end of the year and it attracts a competitive interest rate of 10% p.a on weighted average.The minimum contribution is Ksh.500 per month.

Attracts Interest Rate

Christmas Savings attract a competitive interest rate of 10% p.a on weighted average.

Saving Period

Withdrawable once at the end of the year

Affordable Minimum amounts to Save

The minimum contribution is brought down to Ksh. 500 per month to suit everyone.

Benevolent Fund

The purpose of benevolent fund is to assist members incase of death in the nuclear family of the member.Upon death of a member a fully filled benevolent claim form signed by the delegates together with a copy of death notification/burial permit and copy of ID or birth certificates in the case of minors should be sent to the office.

Objectives Of the Benevolent Fund

In the event of loss of a member, spouse or child, the family will get financialm suppoort of Kshs 50,000 to supplement the last expense or burial budget

In case of death of a member, the fund hall boost the deposit of the deceased by half.

The fund will also be used to pay insurance that are to pay the outstanding loan balance of the deceased member.

Kencream Sacco Loans

BOSA Loans

Member Car Loan

Car loan is an asset finance loan product created to cater for members who would be willing to take loan to purchase a private car but they want the car to be security instead of guarantors.

Loan terms are as follows:

Age limit of vehicle should not be more than 12years ist registered 2005 and after.SACCO financing up to 80% of the valuation of the car.

Must have SACCO comprehensive insurance cover.

• Original log book will be security for the loan and jointly registered.
• Maximum loan repayment period-48.
• The car should for private use and not PSV.
• Car must be physically purchased locally.
• Insurer is CIC or any other qualified insurer.
• Valuation to be done on every year by the SACCO pre qualified valuers before insurance renewal.
• Tracking devices must be installed.
• The member to take care of legal and valuation costs.
• Loan issuance is immediate upon complete documentation.
• Multiplication factor 3 times the deposit.

Requirements

• Loan application duly filled
• Member submit official search from KRA
• Valuation report from Automobile association of Kenya(AA Kenya) or regent automobiles certifying the car is in good condition.
• 2 copies of signed transfer from the applicant
• Sales agreement
• Latest certified copy of payslip (those on employment), 6 months bank statement certified and stamped(for those not employed)
• Copy of ID or valid Kenyan passport
• Member must have saved with the SACCO for at least 6 months

Development Loan / Normal Loan

Normal/development loan is available to all active members whereby they are guaranteed 3 times the deposits held with the society but subject to ability to repay with an Interest rate of 13.5% p.a reducing balance. Security is guarantors and own deposits.

• Available to all active members
• Granted THREE times the deposits held with the society but subject to ability to repay
• Interest rate of 13.5% p.a reducing balance
• Security is guarantors and own deposits
• Should have been a member for at least 6months
• 1/3 of the payroll deductions applies
• Available within 14-30 working days
• Maximum repayment period is 48months

Upesi Loan

Upesi Loan is available to our members. Kencream guarantees THREE times the deposits held with the society but subject to ability to repay at an Interest rate of 15% p.a on reducing balance whereby the Security is guarantors and own deposits.

• • Available to all active members
  • Granted THREE times the deposits held with the society but subject to ability to repay
  • Interest rate of 15% p.a on reducing balance
  • Security is guarantors and own deposits
  • Should have been a member for at least 6 months
  • 1/3 of the payroll deductions applies
  • Appraisal fee of 2.5% upfront
  • Available within 3 working days
  • Maximum repayment period is 54 months

Super Loan

Super Loans are available to all active members who have been SACCO members for at least 6 months. The loan is guaranteed 4 times the deposit held with the society but subject to ability of the member to pay.

• • Available to all active members
  • Granted FOUR times the deposits held with the society but subject to ability to repay
  • Interest rate of 14% p.a on reducing balance
  • Security is guarantors and own deposits
  • Should have been a member for at least 6months
  • 1/3 of the payroll deductions applies
  • Appraisal fee of 2.5% upfront
  • Available within 14-30 working days
  • Maximum repayment period is 60 months.

Consumer Loan

Consumer loan Requirements

Available to all active members with continuous contributions for the last 6 months.

• Attach two recent pay slips and a copy of ID/ passport.
• The loan is repayable within 12 months.
• The security of the loan is own deposits and guarantors.
• The products will be sourced from selected suppliers.
• It is available within a day from the date the complete form is received in the office.

Bima Loan

• Available to all active members with continuous contributions for the last 6 months.
• Two recent pay slips and a copy of ID/Passport as relevant attachments.
• Debit note received from the Insurance Company indicating the premium amount to be paid.
• The loan is repayable within 6 month.
• The Interest rate of 1% per month flat rate or as may be determined from time to time by the Board.
• The Security of the loan is own deposits and guarantors.
• The payment is made directly to the Insurance Company.

School Fee Loan

School Fee

• Available to all active members
• Granted three times the deposits held with the society but subject to ability to repay
• Interest rate of 12% p.a on reducing balance
• Security is guarantors and own deposits
• Should have been a member for at least 6 months
• 1/3 of the payroll deductions applies
• Attach School fees structure
• Repayable within one year

Karibu Loan

Karibu Loan Requirements for Application

• Available to newly employed NKCC Staff
• Maximum amount applicable is 50,000
• Interest rate of 12 % p.a on reducing balance
• Security is own payslip and guarantors
• A 2.5% upfront charge
• Should have been a member for at least 1 month
• 1/3 of the payroll deductions applies
• Maximum repayment period is 6 months.

Emergency Loan

This is a loan available to people who have saved for 6 months and above.It is available within  1 to 2 working days

Requirements

• Available to all active members
• Granted THREE times the deposits held with the society but subject to ability to repay
• Interest rate of 12% p.a on reducing balance
• Security is guarantors and own deposits
• Should have been a member for at least 6 months
• 1/3 of the payroll deductions applies
• One should attach proof of emergency, e.g. hospital bills, court fines etc.
• Repayable within one year

Express Loan

Express loan is available to members who have contributed for 6 months consecutively.The maximum amount applicable is 50,000 at an interest rate of 5.5% per month on straight line.Security for the loan is your payslip and it is subject to the 1/3 rule.Maximum repayment Period is Five Months.

WEEKENDER LOAN

Weekender loan is an instant loan meant for members who have contributed for 6 months consecutively.The maximum amount applicable is 10,000 at an interest rate of 15% . Security for the loan is the member’s payslip. The loan  is subject to the 1/3 rule. Maximum repayment Period is one month.

EXPRESS LOAN

Available to active BOSA members.

• Accessed at the comfort of the phone.
• Repayable within 3 months.
• Cash deposited directly to MPESA

FOSA Loan Products

Salary Advance

• Available only for salaried employees.
• Interest of 10% p.m.
• The maximum amount to be advanced is 60% of the salary received net off overtime.
• Repayable in 1 month.
• Appraisal fee of 1% and a Risk Management fee of 1% are charged.
• Security is own salary.

Requirements

• Current pay slip.
• Salary must be channeled through FOSA Account for at least 1 month.

Special Salary Advance

• Interest of 5% per month Straight rate.
• Maximum amount is 150% of the current net pay.
• Available for BOSA members and FOSA customers
• Repayable in 3 months
• An Appraisal fee of 1% and a Risk Management Fee of 1% are charged.
• Security is member own salary.

Terms and Conditions

• Current pay slip
• Salary must be channelled through FOSA Account for at least 1 month.

Salary Jipange Loan

• Interest of 3% per month straight line
• Maximum amount of 200% of the current net pay.
• Repayable in 6 months
• Appraisal fee of 2%
• Risk Management Fee of 1%

Terms and Conditions

• Current pay slip
• Available to members of the Sacco.
• Three guarantors (1 BOSA members and 2 workmates who have a FOSA account with the Sacco).
• Salary must be channeled through FOSA Account for at least 6 months or 2/3 rule apply

Non- Check Off Loan

• One should channel the salary through FOSA for at least one month.
• Repayment period is within months
• One should be an active BOSA and FOSA member.
• Security guarantors.

Kencream Sacco FOSA Accounts

Super Account

This is a withdraw-able deposit account that members use as a transaction account and can also be used for saving purposes. The account caters for member’s regular transactions like:

• salaries and loans processing
• Cash and Cheque Deposits
• Electronic funds transfers
• standing orders e.t.c

The account maintenance balance is Kshs 1,000 and the minimum interest earning balance is Kshs 15,000.

The interest is calculated monthly and credited at the end of the year that is 31st December every year.

Super Account holders are legible for ATM cards services which shall be issued and operated in accordance to the society’s ATM card procedure.Withdrawal Fees shall be in as stipulated in the FOSA Tariff Guide.

Fixed Deposit Account

The fixed deposit account is a withdrawable deposit account where depositors can place short term deposits for specified periods of time between one to 12 months. The account targets members with large sums of money that they have put aside for investment and they fairly certain of the period that they can commit to.

Minimum deposit is Kshs 50,000 . Interest is computed daily and credited at the maturity of the contract period. Accrued interest is fortified if the depositor withdraws the funds before the maturity date. The customer is issued with a certificate of deposit  upon depositing the money.

The certificate of deposit details the amount deposited, date deposited, interest rate applicable, contract period and the maturity date. Upon maturity, the depositor can roll over both the principal interest.

Jazajaza Account

The jazajaza account was formulated to be a withdraw able deposit account that targets savers who have need to accumulate funds for investment over time and do not wish to tie the deposits for a specified period in the SACCO.

Need a Jazajaza Account?

The account allows monthly savings of kshs. 5000 through check off.

Minimum interest earning balance is Kshs. 10,000. Interest is on a graduated rate i.e the higher the amount the higher the interest. Withdrawals are done as and when a member wishes to do so.

Junior Account

This account enables parents to plan and save for their children’s education through savings accumulation for a long period of time.

Junior Club Account

A member may open an account for each and every child as he wishes. The account name should be in the child’s name and the parent has the sole mandate to operate it.

The minimum monthly saving for each account is ksh 250 mainly through check off but any other mode is also acceptable. Withdrawal from the account is permitted after every four months provided a balance of Kshs 500 is maintained.

Withdrawal before four months are over may be permitted at a charge of Kshs 150 per withdrawal. minimum interest earning balance is Kshs. 5000. The interest rate will be based on amount and time of deposit i.e the higher the amount and the longer the period the higher the rate. Withdrawal fees shall apply as stipulated in the FOSA Tariff Guide. All children with a junior club account will receive a birthday card every year.

Busara Savings Account

This is a withdrawable deposit account which gives members a facility to save for certain eventualities like education, holiday, Christmas festive season, weddings and others .

Want to save for a Certain Occasion?

A member is required to save at least Kshs 1,000 per month usually through check off or standing order.

New members have a minimum savings period of 6 months. minimum interest earning balance is Kshs 7,000. Interest is calculated monthly but credited at the end of the year. withdrawal fees apply as stipulated in the FOSA tariff guide

Chama Savings Account

Savings Account for your Chama

This is an account organized for groups. The members of the group need not to be SACCO members provided one of the group members is a Kencream SACCO’s member.

CHAMA SAVING ACCOUNT.

The group must have at least three signatories to the account. minutes of the group meeting authorizing the officials to open the account shall be required to open the account.

The group must have a name preferably registered. The mode of contribution is check off, standing order or by direct deposit. Minimum account maintenance balance is Kshs .2000. Minimum interest earning balance is Kshs. 20,000

Crystal Account

Savings are done on a monthly basis, usually through check-off, target members who have a need to accumulate small savings for a long time, which they can withdraw when employment ceases prematurely, when they retire or when seriously ill.

A member saves a minimum of Kshs 300 per month through check off. all deposits from Kshs 300 and above earn an interest which is calculated at the end of the year. Interest rates are on a graduated basis that is the higher the deposits the higher the rate. Withdrawal of 25% of the deposits is allowed every three years or when a member leaves employment either prematurely , retires normally or is critically ill.

Crystal savings cannot be used to offset an individual or a defaulter himself or has pledged the savings as a collateral for a loan. Withdrawal fees shall apply as stipulated in the FOSA tariff guide.

What do I need when applying for a loan?

• Fully completed loan application form
• Minimum three guarantors who must be active members and have contributed deposits for at least six months. Guarantors’ and applicants deposits MUST be equal to or more than the loan applied for.
• THE location Delegate MUST approve the loan application by sign and stamping the application form.
• Outstanding loan by the applicant, MUST be cleared before a loan of the same type is approved.
• Three most original current pay slip certified by the applicant’s employer’s payroll officer MUST be attached to the application.
• Attach copy of an acceptable form of identification (National ID/Valid Passport)
• Must have been an active member for at least six months.

Must I have guarantors when applying for a loan?

All loans except Express and Weekender granted by the society must be guaranteed by at least three members of the society. Guarantors’ and applicants deposit MUST be equal to or more than the loan applied for. In special cases when loan is less than applicant deposits,self-guarantee is allowed but MUST not have and will not guarantee other loans during the period of the loan repayment.

How much loan can I qualify for?

The maximum loan amount a member can be given at any one time is three times the member’s savings subject less any outstanding loan balance unless it’s a super loan where it’s four times the member deposit. A member must take home at least a third of his/her pay after all deductions.

Can I apply for more than one loan?

A member is allowed to take all the loan products on offer so long as total loans repayments do not exceed two thirds of the member’s salary and three times the member’s savings.

What is a third rule

This is government regulation that prohibits an employer against deducting more than two thirds of one salary. The Sacco factors that rule when appraising one loan eligibility otherwise the employer will not recover any amount in excess of 2/3 of the salary.

Can I apply for a top up of an existing loan?

A member with an existing loan is allowed to apply for a new loan from which the society will recover the balance of the existing loan and give the member difference subject to the existing balance being 50% of initial loan.

What is the interest Charges on Kencream SACCO Loans?

The interest varies on the type of loan applied. The rates are;

• Upesi 15% on reducing balance
• Normal loan 13.5 % on reducing balance
• School fess and emergency loan 12% on reducing balance
• Express 5.5% p flat rate
• Weekender 15%.

Can a member make a lump sum deposits and take a loan immediately?

YES, one can deposit a lump sumamountand apply for a loan immediately but at a penalty of 10% of the amount deposited. Otherwise one have to wait 3 months for the deposits to be factored in for loan eligibility.

What is benevolent fund? Is the contributions refundable?

This is fund(Pool) created by members through contributing Kshs 200 per month to assist members in the event of unforeseen situation of death in the member’s nuclear family. The amount contributed toward the fund is like insurance premium thus not refundable upon leaving the society.

The objective of the benevolent fund are:

1. To assist the beneficiary with Kshs 50,000 for burial expenses of the deceased contributor.
2. To boost the deposits of the deceased member by half of the amount contributed to the time of death.
3. Member financial assistance to the tune of Kshs 50,000 for funeral expenses of a deceased spouse or child of a member.
4. To pay insurance premiums in order to repay outstanding loan balance of the deceased member.

What Channels can I use to deposit to my account or pay my Loans?

You can use either:-

1. Through check off system-deduction by the employer.
2. Bank standing order or cash payment through the FOSA or Society’s Bank Account co-operative Bank of Kenya. Account no: 01120006510900 Branch: Enterprise Road Branch
3. Through Mpesa-Lipa na Mpesa select pay bill. Enter business no as 400200. Enter Account no as 01120006510900.

How long do you take to process a Loan?

This varies on the type of loan a member is borrowing:-

• Short term advances/Emergency Loan Processing- Within 2 hrs
• School Fees Loan-Within 12 Working hrs
• Normal/Super Loans Processing-Between 14-30 Working Days
• Upesi Loan Processing-Within 3 Working Days

How do I become a member of Kencream Sacco Society?

Fill in membership forms that can be downloaded from our website or can be obtained from our offices or from the delegates at every location where Kencream Sacco have members.

Attach a copy of National Identity card/Passport, a passport size photograph and your KRA pin Certificate. Registration fee Kshs. 1,000. Minimum monthly contributions currently Kshs. 3,200 for salaried employees members while non-salaried contribute Kshs. 1,700.