Deposit-taking vs non-deposit-taking SACCOs: what SASRA licensing means for you

Updated 26 September 2026

SASRA licenses deposit-taking SACCOs, which can run FOSA accounts, and authorises non-deposit-taking SACCOs, which hold only non-withdrawable savings. Here is what each means for your money.

You will see the letters "DT" in many SACCO names, such as Harambee DT Sacco or Stima DT Sacco. That stands for deposit-taking, and it tells you which kind of licence the SACCO holds from the Sacco Societies Regulatory Authority (SASRA). Here is what the different categories mean for a member.

The two SASRA categories

	Deposit-taking SACCO (DT-SACCO)	Non-withdrawable deposit-taking SACCO (NWDT-SACCO)
How SASRA approves it	Licensed under the Sacco Societies Act and the Deposit-Taking Sacco Business Regulations, 2010	Authorised under the Non-Deposit-Taking Business Regulations, 2020
Withdrawable savings (FOSA)	Yes: front office accounts, withdrawals, often ATM or mobile banking	No front-office withdrawal services
Non-withdrawable deposits (BOSA)	Yes	Yes: these are its main source of funds
Number for 2026	176 licensed	176 authorised

SASRA's FAQ describes non-deposit-taking SACCOs as mobilising savings from members that are "strictly utilized as collateral for credit facilities advanced to its members", and which "are not withdrawable by the members but can only be refunded when the members exit."

What the licence protects

A SASRA licence or authorisation means the SACCO is supervised against a set of rules. Among them:

Only members can borrow. Section 33(5) of the Sacco Societies Act bars lending to non-members.
Loans must be secured. Regulation 32 of the 2010 regulations requires all loans to be fully secured and bars any member from over-guaranteeing.
Dividends depend on capital. A SACCO may not pay dividends unless it complies with the prescribed capital adequacy requirements (regulation 21(5)).
Refund rules. Deposits are refunded on exit once debts and guarantees are cleared, and the 2020 regulations require non-deposit-taking SACCOs to refund within sixty days of written notice.
Reporting. SASRA publishes an annual supervision report on the sector. The 2024 report covers 355 regulated SACCOs (177 deposit-taking and 178 non-withdrawable deposit-taking) with total assets of KSh 1.076 trillion.

A licence is not a guarantee that a SACCO will never have problems. It does mean there is a regulator you can complain to, and published rules the SACCO must follow.

Restricted and revoked licences

SASRA's list for 2026 also names five SACCOs whose licences or authorisations were conditionally restricted to credit-only business. They are "strictly prohibited from taking new and/or any further deposits" from members or the public. It also lists one SACCO whose licence lapsed after it merged with another, and one whose authorisation expired because it did not apply for renewal. If you are a member of a SACCO on a restricted list, ask the SACCO what it means for your deposits and for share transfers. If you are thinking of joining or buying shares, be more cautious.

SACCOs outside SASRA

Not every SACCO needs a SASRA licence. The deposit-taking licence is required for deposit-taking business (section 23 of the Act); SACCOs that do not do regulated business are not on SASRA's list. If a SACCO you are considering is not listed, ask it directly who regulates it and why it is not on the list. Do not assume that a SACCO is regulated because it has a large office or a well-known name.

How to check a SACCO's status

Open SASRA's latest list of licensed and authorised SACCOs.
Search for the SACCO's full registered name. Watch for similar names: Mwalimu National Sacco and Gusii Mwalimu Sacco, for example, are different SACCOs.
Note which schedule it appears in: licensed (deposit-taking), authorised (non-withdrawable deposit-taking), or restricted.
Match the head office town on the list with the SACCO you are dealing with.

The SaccoLink SACCO directory is a quick starting point, but SASRA's own list is the authority.

What changes for share buyers and sellers

The rules on share capital are the same in both categories: shares cannot be pledged as loan security and are not refunded, but may be transferred to other members on leaving (regulation 21 of the 2010 regulations; regulation 22 of the 2020 regulations). The 2020 regulations also require a non-deposit-taking SACCO to keep a register of member shares and to issue a share certificate within thirty days of a member paying for shares. If you are buying shares in a non-deposit-taking SACCO, ask the seller for that certificate and ask the SACCO to confirm the register entry. Whichever type of SACCO it is, complete the transfer at the SACCO office and read our transfer safety guide first.

Which is better for you?

If you want one place for your salary, savings and loans, a deposit-taking SACCO with FOSA services is more convenient.
If you only want to save steadily and borrow against those savings, a non-deposit-taking SACCO can do that job. Its savings are harder to reach, which some members see as a benefit.
In both cases, share capital is not refunded when you leave, and deposits are refunded only after you have cleared your loans and guarantees.

Sources

This guide is general information, not financial advice. SACCO rules differ, so confirm details with your SACCO.