FOSA (Front Office Services Activity) is a SACCO product that offers basic banking services similar to those offered by commercial banks. FOSA however is not a clearing agent with Central Bank of Kenya (CBK) and therefore cannot clear.

What is the difference between FOSA and BOSA savings?

FOSA savings can be withdrawn over the counter (this is a banking facility). BOSA savings are monthly SACCO remittance and can only be withdrawn upon retiring from Sacco membership. FOSA savings can be used to offset BOSA loans or boost BOSA savings. BOSA savings cannot be used to offset loans unless upon default. FOSA is an innovative product to enhance the members’ convenience and boost the SACCO’s income.

Members admitted in accordance with the membership policy

A member becomes eligible after a minimum membership period of three months and on fulfilling all requirements of a specific loan product. Members who transfer their deposits from another Sacco are exempted from the waiting period.

A loan application must be done in writing on prescribed forms which must be fully filled. The applicant must attache all relevant documents. Alteration will not be allowed.

Shares:

• The amount representing a member’s portion in the equity of the society as a co-owner
• No member other than a Cooperative Society shall hold more than one-fifth (1/5) of the total shares
• Shares are not used to determine the eligibility of a borrower or a guarantor
• Shares are not withdraw able but are transferable

Deposits

• Every member must make regular deposits towards alpha deposits in accordance with Savings and loans policies
• They are not withdrawn in part or in full as long as a person is a member of the Sacco
• These deposits may be used to determine the eligibility of a borrower or a guarantor

Savings

In addition to shares and deposits a member may invest in a saving account. The Sacco provides the following savings products:

• Imani savings
• Junior star savings
• Seasonal savings
• Ordinary savings
• Fixed deposit
• Save as you earn savings

Interests on loans are reviewed from time to time by the BOD on recommendation of Management.

Yes, that is allowed. All that one needs to do is to instruct in writing

Yes by communicating the same in writing

1. Guarantors
2. Deposits in the SACCO
3. Land
4. Buildings
5. Vehicles

Any active member in good standing is allowed to be a guarantor provided that one has not over guaranteed.A guarantor must be willing and able to repay the loan guaranteed if the loanees fail to pay.

Guarantors are jointly (together) and severally (individually) liable for the repayment of a loan in the event of the borrower’s default.

1. The right to obtain a copy of the letter of guarantee or contract of guarantee and any other documents in relation to the loan transaction
2. The right to the information on the outstanding balance of the account of the borrower with the Society subject to the borrowers consent
3. The right to be indemnified by the borrower for any payment made to the Society. This means that he can sue the borrower for the amount that he has paid to the Sacco

1. Loan amount
2. Repayment period
3. Applicant source of income
4. Applicants term of employment
5. Applicants retirement date
6. Applicants contact details
7. Any other details relating to the applicants character

1. EFT(Electronic Funds Transfer)
2. RTGS(Real Time Gross Settlement)
3. Cash withdrawal from the teller
4. M-BANKING
5. ATM

Yes, that is allowed.

1. A nominee is the person designated by a member to receive the proceeds of any payable funds upon the death of the member
2. All members are required to provide details of nominee(s) upon registering as members
3. One can change and/or update his/her nominee information as when and need arises

On loanees request the repayment period may be altered at any stage of repaying the loan provided that the request is within the limits of a particular loan term, and is endorsed by all guarantors, if extension.