How to find a SACCO loan guarantor when you don't have one

Updated 26 September 2026

Most SACCO loans need guarantors who are members of the same SACCO. If your usual circle cannot help, you can widen the search, reduce the amount you need guaranteed, or offer other security.

You have saved for months, you qualify for a loan, and then the SACCO asks for guarantors. If you are new at work, recently transferred, or simply do not want to ask the same colleagues again, this can be the hardest part of borrowing. Here are practical ways forward.

Why SACCOs ask for guarantors

SACCO loans must be fully secured (regulation 32(1), Deposit-Taking Sacco Business Regulations, 2010). The most common security is the deposits of other members who guarantee you. The Sacco Societies Act (section 33(4)) also allows a SACCO to accept an interest in property, the borrower's own deposits or wages, or other collateral. So guarantors are the usual route, but not always the only one.

Requirements differ a lot between SACCOs. As published examples, NSSF Sacco asks for at least six guarantors who have contributed deposits for at least three months; Kencream Sacco asks for at least three guarantors depending on the amount. Get your own SACCO's rule in writing before you start asking people.

First, reduce how much you need guaranteed

Guarantors usually cover the part of the loan your own deposits do not. So:

Ask the SACCO how the guarantee amount is worked out. In many SACCOs, your own deposits count towards securing your loan, and guarantors cover the balance.
Consider a smaller loan or a later date. A few more months of deposits may cut the guarantee you need.
Ask about loans secured only by your deposits. Some SACCOs offer products within your own deposit balance that need fewer or no guarantors. Ask what yours offers.
Ask about other security. Some SACCOs accept a title deed, a vehicle logbook or other collateral for larger loans.

Where to find guarantors

Colleagues on the same payroll. They can see that your repayments come straight off your salary, which makes them more comfortable.
Members at your branch or in your SACCO's groups. SACCO education days and AGMs are good places to meet members.
Family members who are in the same SACCO. Be careful here: a default can damage a family relationship as well as someone's savings.
SaccoLink's guarantor finder. SaccoLink Connect lists members of different SACCOs who are open to guaranteeing. Search for people in your own SACCO, since a guarantor must normally be a member of the SACCO giving the loan. You can also add yourself if you are willing to guarantee others.

How to ask

People say no to guaranteeing mainly because they do not know what they are signing. Make it easy for them:

Tell them the loan amount, the term, and exactly how much you are asking them to guarantee.
Show how the loan will be repaid, for example by salary check-off.
Tell them who else is guaranteeing.
Offer to find a replacement guarantor if their circumstances change.
Promise to tell them first if you ever struggle to pay, and keep that promise.

The regulations require that "a guarantor shall be adequately informed of the nature of the liability prior to signing" (regulation 32(3)). Giving your guarantors the full picture is fair to them and protects you from disputes later.

What a guarantor is allowed to take on

SACCOs limit how much each member can guarantee, and the law bars over-guaranteeing (regulation 32(2)). Kencream Sacco, for example, caps guarantees at three times the guarantor's savings. A member of the SACCO's board, staff or officers may not guarantee loans from that SACCO (section 35(4) of the Act). If a willing guarantor is turned down, this is often why.

Do not pay for guarantors

Paying someone a fee to guarantee you, or paying a "guarantor agent", is risky. You have no control over whether that person is really a member, whether their deposits are already committed to other loans, or whether the SACCO will accept them. SaccoLink never charges for guarantor introductions. If someone asks you to pay to be connected to a guarantor, walk away.

After the loan is approved

Keep a list of your guarantors and the amount each one covers.
Pay on time. Your repayment record protects them and makes the next loan easier.
If a guarantor needs to leave the SACCO, help them find a replacement. Under regulation 22(1), a member's deposits are refunded on exit only if they are "free from guarantee", so your loan can hold up their exit.

For the guarantor's side of the story, see being a SACCO loan guarantor.

Sources

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