KANISA SAVINGS

AND
CREDIT COOPERATIVE SOCIETY

INFORMATION HAND-BOOK

Building Our Economic Base Through

Saving and Borrowing
VISION STATEMENT
To be the leading one-stop financial institution
providing diverse products and services for
members’ economic empowerment.

MISSION STATEMENT
To promote thrift, prudent management,
member participation, regular education,
development of dynamic systems that
will ensure growth, security of funds and
encourage a positive organizational culture.

MOTTO
Building Our Economic Base Through Saving
and Borrowing
KANISA SACCO SOCIETY LIMITED

INFORMATION HANDBOOK
ABOUT KANISA SACCO
KANISA SAVINGS AND CREDIT CO-OPERATIVE SOCIETY was
founded on and still pursues the principle of enhancing members’
economic foundation, by encouraging and promoting a culture
of saving supported by effective and responsible leadership. The
Society was founded formally by the staff of All Africa Conference of
Churches (AACC) in 1981, though its conception and deliberations
on its establishment started much earlier. Since then, it has grown
a strong financial base and attracted more than 20 institutions both
faith-based as well as non-faith based. In addition to this, it has also
attracted many individual contributing members.
The Society opened its common bond to bring together members
of different nationalities living, working and operating in and out of
Kenya provided they meet membership conditions and are willing
to adhere to the By-Laws. Joining and saving with KANISA is one
such experience that one would not wish to miss. Success stories of
those who have benefitted from the SACCO are galore.
KANISA has developed and continues to maintain relationships with
and membership to various Cooperative apex bodies within Kenya
which include the Kenya Union of Savings & Credit Co-operatives
Limited (KUSCCO).

KANISA SACCO PHILOSOPHY

Vision
To be the leading one-stop financial institution offering diverse
products and services for members’ economic empowerment.

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Mission
To promote thrift, prudent management, members’ participation,
regular education, development of dynamic systems that will ensure
growth, security of funds and encourage a positive organizational
culture.
Core Values
The core values of KANISA SACCO are integrity, transparency,
professionalism and teamwork. In addition to these, KANISA
SACCO is also founded on the general cooperative values of self-
help; self responsibility; democracy; equality; equity; and solidarity.

MEMBERSHIP
The KANISA SACCO membership is in three categories namely:
Employees of various organizations/corporate bodies;
Individual contributors; and
KANISA SACCO Staff.
The institutions currently associated with KANISA SACCO are:
1. African Council of Religious Leaders—Religions for Peace
(ACRL—RfP)
2. All Africa Conference of Churches (AACC)
3. ARBA Publications Limited
4. Christian Aid
5. CWS - RSC Africa
6. Church World Service Eastern-Africa (CWS-EA)
7. Crown the Child Africa (CCA)
8. Diabetes Management Institute (DMI)

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 9. Express Automation
10. Freight Commandos
11. Fellowship of Christian Councils and Churches in the
Great Lakes and Horn of Africa (FECCLAHA)
12. Green Growth Coordination Secretariat (GGCS)
13. Film Aid
14. Inter-Religious Council of Kenya (IRCK)
15. Jamii Auto Care
16. Kenya Scouts Association
17. Life & Peace Institute (LPI)
18. Longrock Tours and Travel
19. Lutheran World Federation (LWF)
20. Lutheran World Relief (LWR)
21. Partners Worldwide
22. Programme for Christian-Muslim Relations in Africa
(PROCMURA)
23. Sankara Hotel
24. World Scouts Bureau (WSB)
Membership Conditions
Irrespective of the category of membership, an applicant will be
considered for membership upon meeting the conditions as set
out in the By-Laws but shall only qualify for rights and privileges of
membership upon:-
Filling and submitting membership application and nominees
forms;

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Payment of non-refundable admission fee of one thousand
Kenya Shillings (KShs. 1000/-) only; and
Payment of at least three hundred (300) non-refundable but
transferable shares at twenty Kenya Shillings (KShs. 20/-) each

Upon admission into membership, one shall remain an active member

by:
Duly remitting a monthly minimum contribution of two thousand
Kenya Shillings (KShs. 2,000/-);
Paying his/her loan (where applicable) including interests without
fail; and
Adhering to the KANISA SACCO By-Laws and all developed
and operational policies

SERVICES TO MEMBERS
KANISA SACCO continuously develops services, which include
loans, through engagement with and examination of the existing
internal and external situations towards ensuring that members’
needs are met. Currently, there are thirteen types of loans; various
loan products; and strategic services all tailor-made to suit the needs
of the members.

LOANS
Principal or Development Loan
 The current maximum limit is KShs. 3 Million or three times the
member’s deposits;
Interest rate is 1% per month on reducing balance;
Repayable within a maximum period of 48 months; and
Other credit terms and conditions apply.

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Emergency Loan
Maximum of two emergency loans at any given time;
Up to KShs. 400,000 for the two emergency loans repayable
in 12 months;
Interest rate is 1% per month on reducing balance;
Caters for emergencies such as hospitalization; school fees and
other unforeseen sudden expenditures; and
Other credit terms and conditions apply.
Mjengo Loan
Maximum Loan amount of KShs. 4,000,000 or as per the
valuation of the collateral;
Interest rate at 13.5% per annum (1.125% per month)
calculated on amortization basis;
Maximum repayment period of 72 months (6 years);

Loan disbursed subject to availability of funds;

Member to provide collateral in form of Title Deed which
shall be charged for the full amount taken. The loanee will
bear all costs relating to valuation, charging and discharging
of the Title Deed;

The loanee must provide certified and registered construction
plan;

The construction plan submitted will be independently
verified by KANISA SACCO service providers at the cost of
the loanee; and
 other credit terms and conditions apply
All

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Mali Mali Loan
This product will enable members to purchase assorted
products from Kanisa SACCO strategic partners e.g. Safaricom
Limited, Unilever (Pure it Device), Water Tank Suppliers etc.
with the following features, terms and conditions: -

The maximum loan amount for this product is KES 100,000;

The maximum repayment period is 12 months;

Interest on this loan will be charged at a rate of 1% calculated
on a reducing balance formula;
 approved loans will be disbursed through cheques payable
All
to the vendor or supplier; and
 other credit terms and conditions apply.
All
KHL Property Loan
This product will enable members to acquire property being sold
by Kanisa Holdings Limited and is designed with the following
features, terms and conditions:-
This loan product shall solely be used to acquire Kanisa Holdings
Limited properties on offer;
The amount applied for should be equal to or less than
(whichever is applicable) the cost of the property that the
member is acquiring less the commitment fee and any other
amounts paid towards purchase of the property;
All approved loans will be paid directly to Kanisa Holdings
Limited;
The security of the loan will be the property being purchased, and
the transfer of ownership will only be done after the completion
of the loan repayment. No guarantors will be required;
The maximum loan repayment period will be 24 months;
Interest rate of 10% per annum calculated on amortization basis;

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The property will be charged at the expense of the loanee in
favour of Kanisa SACCO. Discharge of the property will be
done only upon clearing the loan and also at the expense of
the loanee;
No valuation will be required prior to charging of property
sold by Kanisa Holdings Ltd to Kanisa SACCO members. The
property will be charged at the value of the sales price;
A default for a period of sixty (60) days will result in the property
under consideration being re-offered for sale to other interested
parties and a refund of the monies paid by the loanee so far
under this product less 10% of the value of the property; and
All other credit terms and conditions apply.
Car Loan
Maximum Loan amount of KShs. 1,000,000
Interest rate at 14% per annum (1.167% per month) calculated
on a reducing balance basis;
 Maximum repayment period of 36 months (3 years);
The motor vehicle must be valued by KANISA SACCO’s
identified valuer; and be on a CIC comprehensive insurance for
the duration of the loan;
Payment shall be made directly to the seller after provision of a
signed sale agreement through an agreed mechanism but which
do not contradict the SACCO’s Financial and Credit Policies;
The loanee will bear all valuation charges, insurance premium
costs and all other related charges and costs; and
All other credit terms and conditions apply.

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Instant Loans
Maximum of two instant loans of KShs. 50,000/= at any given
time;
An up-front deduction of loan premium and interest at 3% per
month on reducing balance will apply;
Maximum repayment period is 6 months;
The first instant loan does not require guarantors;
The second instant loan will require guarantors; and
All other credit terms and conditions apply.
Elimu Loan
Interest rate of 10% on amortization basis;
Maximum repayment period is 24 months;
Fee structure must be attached;
 least seventy percent (70%) of the amount applied must
At
go towards payment of school fees and the balance amount
may be paid to the member for the purchase of stationeries,
uniforms and other school related items where applicable;
 administrative fee will be charged per loan;
No

Disbursed through banker’s cheques payable to the preferred
institutions;
The cost of the banker’s cheque will be paid by the loanee; and
All other credit terms and conditions apply.
Sukuma Mwezi Loan
The Minimum amount for this product is KShs. 4,000/= while
the maximum is KShs. 10,000 in one particular month;
An interest of 10% will be charged up-front;
The repayment period is 1 (one) month
No guarantors or collateral will be required; and
All other credit terms and conditions apply.

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Trustee Loan:
This loan is applicable only to the guarantors of a defaulted
loans in lieu of the defaulted amount being recovered from their
deposits;
The maximum repayment period for this loan will be 6 months,
or the original remaining period whichever is longer
If the repayment period extends beyond the period of the
original loan, then the extended /exceeding amount will need to
be insured by the trustee
Interest on this loan will be charged at a rate of 1% calculated on
a reducing balance formula;
If a loan defaulter repays his/ her defaulted amount after his/her
guarantors have taken up this product, the amount received will
be used to clear the guarantor’s trustee loan;
A default of this loan for a cumulative period of sixty (60) days
will result in the outstanding loan amount being recovered from
the loanee’s deposits without further notice to the loanee;
This loan will not require any guarantors; and
All other credit terms and conditions apply.
IDL (Interest on Deposits) Loan
Maximum amount of 50% of the projected year’s undeclared
interest;
Application will be open in the month of February;
Interest rate of 5% will be charged upfront; and
All other credit terms and conditions apply.

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Vision Loan
The loan will be granted to a maximum of four (4) times of the
member’s deposits;
The maximum loan amount will be five (5) million Kenya
Shillings;
The maximum repayment period will be seventy two (72)
months;
Interest rate per month will be 1.125% calculated on an
amortization basis;
The loanee will be required to pay 0.2% of the loan amount
applied or the normal deposit as outlined in the credit policy,
whichever is higher, as his/her monthly deposits for the entire
duration of the loan;
Loan amounts in excess of two (2) million Kenya Shillings will
require additional collateral as per the credit policy;
The loan can be refinanced, factored and consolidated;
In using the Vision Loan to offset another single loan, the terms
and conditions of factoring shall apply;
In using the Vision Loan to offset several loans, the terms and
conditions of consolidation shall apply;
A member taking this loan and utilising more than three (3) times
of his/her deposits, will automatically lockout himself/herself
from taking any other loans until such a time as when his/her
deposits utilised towards the Vision Loan shall fall to below three
(3) times of his/her deposits; and
All other credit terms and conditions apply.

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LOAN PRODUCTS AND STRATEGIC PARTNERSHIP
SERVICES
KANISA SACCO develops, from time to time, products that meet
its members’ expectations. Currently, such products include:
(a) Loan-Related Products
i) Refinancing
This is to help a member top-up his/her existing loan. No fee is
charged for this product but the repayment must be completed
within the remaining period of the original loan.
ii) Factoring
KANISA SACCO can clear a member’s principal loan balance at
a fee of 5%, to enable a member apply for another principal loan
immediately. However, the ‘loanee’ must have paid 50% of the
principal loan, otherwise 7.5% of the loan balance will be charged.
Other terms and conditions of a principal loan will apply.
iii) Consolidation
This allows a member to merge all of his/her existing loans into one
at a fee of 10% of the total loan balances. This then allows one to
borrow other loan(s).
iv) Deposit Boosting Facility: -
This product will enable a member to boost his/her deposits and
qualify for a loan immediately. Under the following features, terms
and conditions:-
The boosting amount for the purpose of immediate loan taking
shall not exceed, at any particular time, KES 200,000;

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A fee of 10% of the boosted amount will be charged and this fee
will be deducted upfront; and
All other credit terms and conditions apply
v) Zidisha Deposit Boosting Facility
This is a facility whereby a member applies for his/her deposits
to be boosted for the purposes of qualifying for a bigger loan and
the boosting amount is paid by the Society ;
A fee of fifteen percent (15%) will be charged on the boosted
amount and this shall be deducted up-front from the loan
applied;
The Society will deduct the boosting amount and boosting fee
from the loan applied, post the boosting amount to the loanee’s
deposits, and pay-out the balance of the loan to the loanee;
One shall qualify for only Ten (10) times the average of his/her
last three months contribution and up to a maximum of Kenya
Shillings One Hundred Thousand (Kes 100,000/-) ;
A member shall qualify for the facility only once every six (6)
months;
This facility shall not apply to the “Sukuma Mwezi”, “Malimali”
and “Instant Loan” loan products; and
All other credit terms and conditions apply

vi) Karibu Loan

This loan product is meant to benefit new members who have
not finished six (6) months as required by the By-laws.
a) Available to new members who have not finished six (6)
months;

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b) Amount applied should not be more than the members’ de-
posits;
c) Interest of 10% and insurance charges shall be deducted up-
front from the applied and approved amount;
d) Repayable period shall not be more than a period of Twelve
(12) months from the date of approval;
e) A member should have fully paid share capital as required by
the by -laws;
f) No guarantors needed; and
g) All other credit terms and conditions apply
b) Strategic Partnership Services
KANISA SACCO, through strategic partnerships with relevant
agencies, develops specific services in order to ensure that
members meet their daily obligations and needs in a contextual
environment. These go along way to improve members’ economic
and general welfare. Some of the current specific products on offer
to members are:
(i) Personal Motor Vehicle Insurance
KANISA SACCO acts as an agent with an appointed insurance
company through which it facilitates, for the interested members,
purchase of personal motor vehicle insurance cover. Currently the
service is being provided by CIC INSURANCE at a rate of 4% of
the value of the vehicle. While this service does not attract any
interest from the society, repayment for a period of 12 months
begins immediately the cover is issued.

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(ii) Water Tank
Necessity is the mother of invention, so it is said. This product was
initiated to help members address the challenges of water shortage
and rationing by acquiring tanks.
(iii) Mobile Devices
Members are able to purchase mobile devices from various
companies eg. Safaricom Limited through the SACCO.
(iv) Jikokoa
Members can now get energy saving Jikos through Kanisa SACCO
at an affordable price.

LOAN SECURITY AND COLLATERAL

Guarantors and member’s deposits form the core security for
loans except when the amount applied for is equal to or less than
a member’s free deposits (Uncommitted deposits after taking into
account all loans guaranteed by a member), and if such member
has not guaranteed anybody as at the time of loan application. In the
event of default, the guarantors shall be the first point of reference
for loan recovery. Additional security in form of collateral is needed
for the loans that are more than KShs. 2 million unless such loan is
fully covered by the member’s deposits and such member has not
guaranteed anyone else for loan.

In addition to the current use of guarantors as loan security /

collateral, the following are other ways in which members can
secure their loans with Kanisa SACCO:

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1. Use of Title Deeds
a) Members can access loans by using collateral in form of land Title
Deeds in lieu of and/or in addition to guarantors;
b) Members will be able to access loans up to 80% of the force sale
value of the land;
c) The Title Deed shall be valued and charged at the borrower’s
expense;
d) The loan shall be disbursed only after the charging process is
complete;
e) In case of default and the land is sold to recover the defaulted
amount the Society shall be under no obligation to sell the land
at a price more than the defaulted amount and any interest in-
curred; and
f) Other Credit terms and conditions shall apply

2. Use of Member’s Scheme Fund

a) A member can make use of his/her Savings Scheme as security
to his/or her loan;
b) Savings used as security shall be locked and shall remain
inaccessible for withdrawal till the loan is cleared;
c) A member who has defaulted his/her loan shall have his/her
savings inaccessible for the use as security; and
d) Other credit terms and conditions shall apply

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KANISA SACCO SAVINGS SCHEME
In order to ensure multifaceted approaches to strengthening the
culture of saving among members, KANISA has developed and
is currently managing two types of Savings Schemes – one for
members and another one for their children. This is also to enable
the future membership of KANISA (members’ children) start
inculcating a saving culture at an early stage.
Jiokoe Savings Scheme
Allows members to save with the society in addition to the
ordinary deposits.
Only members of the KANISA SACCO Society can join the
scheme and there is no entry fee;
The minimum contribution per month for the savings scheme is
KShs. 1000/=; and
The minimum book balance shall be KShs. 500/= (can only be
withdrawn when closing the account)
Mwanangu (Children’s) Savings Scheme
The scheme shall only be opened and operated by members
for their children;
The account shall be in the name of the child/children but in full
custody of the member;
The Child/Children’s birth certificate will be required during the
opening of the account and a copy shall be retained for record
purposes;
No minimum monthly contribution
A minimum waiting period of 1 year shall be in place before a
member can withdraw their savings;

The savings scheme to earn a guaranteed minimum interest
rate of 4% p.a.; and

Membership terms and conditions apply

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LEADERSHIP AND MANAGEMENT
There are two main committees -The Central Management
Committee (CMC) and the Supervisory Committee (SC) -
which have respective roles in managing the affairs of the Society.
The Central Management Committee (CMC)
This is the governing authority of the Society and directs
all its affairs as per the direction from the Annual General
Meeting (AGM). Its sub-committees mainly include
the Executive, Credit and Education Committees.
The Supervisory Committee (SC)
This Committee is responsible for ensuring that the Society
is compliant with all rules, regulations and internal controls
as set out in the Society’s By-Laws. Members of this
Committee are directly elected by and reports to the AGM.

MEETINGS
Annual General Meeting (AGM)
The AGM is the supreme authority of KANISA SACCO and it sets
the agenda for the Society. Every member of the Society of good
standing has a right to attend, participate and vote (on all matters)
and/or be voted into leadership position at the Annual General
Meeting (AGM). Non-attendance of the AGM attracts a fine.
Education Day
The members’ Education Day, held annually, is meant to educate
and create awareness among members on specific and thematic
issues of the Society, in particular, and the SACCO movement,
in general. Members are required to attend and participate in
full. Non-attendance attracts a fine.

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CORPORATE SOCIAL RESPONSIBILITY
KANISA SACCO, in upholding the co-operative principal
of concern for community, undertakes corporate social
responsibility activities on an annual basis. In the past,
such activities have included visits to children’s homes
and to victims of natural disasters such as fire or famine.

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PAYMENT DETAILS
Members can make deposits in the following KANISA
SACCO bank accounts and present deposit slips to the
office for receipting.

1. Co-operative Bank of Kenya,

Westlands Branch,
Account No. 011-200-6256-9400

2. Commercial Bank of Africa,

Westlands Branch,
Account No. 727-018-0011

NB. Members to ensure that their names and membership

numbers appear on the bank slip

3. M-Pesa
Paybill No. 914150, Acc. No. KS...........(Remember,
M-Pesa account number is your membership number,
that is (KS........)

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Kanisa SACCO Society Ltd,
Desmond Tutu Conference Centre
All Africa Conference of Churches (AACC)
Waiyaki Way, Opposite Safaricom House,
P. O. Box 1210 - 00606, Nairobi
Telephone: +254 20 4450135, Mobile: +254 714-612049,
+254 780-612049, +254 774-606056
Email: info@kanisa-sacco.org,
Facebook: https://www.facebook.com/kanisaSACCO
Twitter: https://twitter.com/kanisasacco
Website: www.kanisa-sacco.org