SACCO Loan Calculator
Deposits × multiplier · Reducing balance · Insurance + appraisal 🇰🇪
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How SACCO loans work in Kenya
The SACCO loan calculator estimates how much you can borrow and what it will cost, based on your deposits and your SACCO’s lending multiplier. Most Kenyan SACCOs lend 3× to 7× your share deposits at around 1% per month on a reducing balance, usually cheaper than a bank loan.
Enter your deposits, the multiplier, loan amount and term, and the calculator shows your monthly repayment, total interest, the appraisal and insurance fees deducted up front, and the net amount you actually receive. It also caps the loan at your eligibility so you can see the maximum your deposits support.
Frequently Asked Questions
How much can I borrow from a Kenyan SACCO?
Most SACCOs lend up to 3× your deposits for basic loans, up to 5× for development loans, and 7× for super loans (the highest multiplier is reserved for long-time members with good standing). So if you have KES 200,000 in deposits, a 5× SACCO can lend you up to KES 1 million.
What is the typical SACCO interest rate?
1% per month on reducing balance is the most common (~12% effective annual). Some specific products: Super loans 1.2%/month, Development loans 1.25%/month. Compared to bank loans at 14-18% pa, SACCOs are usually cheaper but require you to be a contributing member first.
What are the upfront fees?
(1) Appraisal fee: ~1% of loan amount, deducted at disbursement. (2) Insurance / Loan Protection: 1-2% of loan, also deducted upfront. So a KES 500,000 SACCO loan with 1% + 1% means you receive KES 490,000 in your account. Some SACCOs add these to the loan principal instead.
Reducing balance vs flat rate, what is the difference?
Reducing balance: interest charged only on the outstanding balance each month, payments shrink over time. Flat rate: interest on the original principal for the full term, payments stay constant. A 12% pa flat rate is roughly equivalent to a 22% pa reducing rate, so always confirm which method the SACCO uses.
What if I need to borrow more than my multiplier allows?
Options: (1) Get a guarantor, co-members pledge their deposits as security, letting you exceed your own multiplier. (2) Increase your monthly contributions for 3-6 months before applying. (3) Apply for a super loan (higher multiplier but stricter requirements: usually 3+ years membership, no defaults).