- This product is for members who have some significant funds that they want to temporarily invest as they plan to use the funds in the medium term. The product can cut across all segments of our membership.
- It allows members to make monthly deposits and at the same time be able to withdraw when need arises and still be able to earn some relatively good return
- Nature of account – Opened upon member application. Funds deposited to earn monthly interest which are credited into the members account.
- Member to be able to withdraw the funds within 2 working days
- Minimum allowable deposit – Kshs. 5,000. Member can deposit more in multiples of 5k,10k,15k,20k etc.
- Additional funds to earn interest as well
- Interest rate – 6%p.a.
- Withdrawal – Full withdrawal Permissible upon filling of a closure form. This is to attract a small charge.
- It can run indefinitely Standing orders/Transfer – Standing order from ordinary savings account or transfer from another member to boost the account is allowable
Partial Withdrawal of Long-term Deposits
This product is to allow members who have retired to withdraw part of their deposits in case they have a dire need for same.
It provides 4 scenarios where members can access the deposits depending on their level of indebtedness to the Sacco
Scenario 1
- A retiree without loan and has not guaranteed any member –
- Upto 50% of the long-term deposits can be withdrawn
Scenario 2
- A retiree without a loan and has guaranteed Member(s) –
- Have Retiree seek for alternative guarantors
- Consider up to 50% of the remaining long-term deposits
Scenario 3
- A retiree with a loan and has not guaranteed Member(s)
- Offset Loan Balance
- Consider up to 50% of the remaining long-term deposits
Scenario 4
- A retiree with a loan and has guaranteed Member(s)
- Offset Loan Balance
- Have Retiree seek for alternative guarantors
- Consider up to 50% of the remaining long-term deposits