ASSET FINANCE LOAN PRODUCT-(DEVELOPMENT LOAN)
This is to notify you that the board meeting held on 26/7/2023 resolved and approved the above product under asset finance with the following features effective from 1/8/2023.
1. Must be a member of the SACCO for a minimum of 12 months.
2. Only commercial and residential land (within municipalities and urban areas) will be financed.
3. Loan term is maximum of 120 months (10 years).
4. No special asset savings account is required
5. Loan amount of up to a maximum of Kshs.15, 000,000 subject to value of the property/land and ability to repay the loan.
6. Value of land must be higher than the property to be granted (Mortgage value).
7. Land must have freehold title or a lease certificate with not less than 20 years before expiry.
8. Grace period is one month.
9. Interest rate of 13% per annum on reducing balance is charged.
10. Processing fee is 2% of the loan approved.
NB:That all loans secured by developed property must have insurance cover to loan term.