How to choose a SACCO to join

Updated 26 September 2026

The right SACCO is one you qualify for, that SASRA regulates, and whose rules on share capital, loans and exits suit you. This checklist covers what to compare before you sign up.

Joining a SACCO is a long-term commitment. Your share capital is locked in for as long as you are a member, and you usually need months of steady deposits before you can borrow. So it is worth spending an afternoon comparing options before you sign. Here is what to check, in order.

1. Can you join? The common bond

Every SACCO is formed for a particular group of people. Under section 14 of the Co-operative Societies Act, membership depends on being at least 18, having an employment, occupation or profession that falls within the category the society was formed for, and living or occupying land within the society's area of operation, as set out in its by-laws. In practice some SACCOs are for one employer or profession (teachers, police, a company's staff), and others are open to anyone in a region or even nationally. Use the SaccoLink SACCO directory to see who each SACCO serves.

2. Is it licensed or authorised by SASRA?

Section 23 of the Sacco Societies Act says no one may carry out deposit-taking SACCO business without being a registered co-operative and holding a valid licence. SASRA publishes the list every year. For 2026 it lists 176 SACCOs licensed to take deposits and 176 authorised as non-withdrawable deposit-taking SACCOs, and names five that were restricted to credit-only business. Check the exact name on that list. A SACCO that is not on it may still be a legitimate co-operative, for example a small one not required to be regulated by SASRA, but you should understand who supervises it before you save there.

Our guide on deposit-taking vs non-deposit-taking SACCOs explains what each licence lets a SACCO do.

3. Its dividend and interest record

Ask for the last three to five years of:

Dividend on share capital
Interest on deposits

Most SACCOs announce these after their annual general meeting. A steady record is more useful than one high year. For context, SASRA reports that for 2024 regulated SACCOs paid an average of 10.46% on share capital and 7.14% on deposits, both lower than 2023. Past payouts do not guarantee future ones, and the regulations bar a SACCO from paying dividends if it has not met capital adequacy requirements. See how to read a SACCO's annual results.

4. How much you can borrow, and on what terms

Most members join to borrow. Compare:

The loan multiplier. Many SACCOs lend a multiple of your deposits. As published examples, NSSF Sacco and Kencream Sacco describe standard loans as up to three times savings, with some products higher; Mhasibu Sacco describes loans of up to five times deposits plus share capital.
How long you must save before borrowing, and how long guarantors must have been members.
Guarantor requirements. These vary a lot. NSSF Sacco asks for at least six guarantors on some loans; Kencream Sacco asks for at least three, subject to the amount.
Interest rate method (reducing balance or flat) and all fees. The 2010 regulations require SACCOs to disclose the amount financed, interest, fees and the interest computation method (regulation 29).

5. What it costs to join

Cost	What to ask
Entry or registration fee	One-off and not refundable. Kencream Sacco, for example, lists a KSh 1,000 registration fee.
Minimum share capital	How much, and can it be built up in instalments? Mhasibu Sacco lists a KSh 10,000 minimum contribution.
Minimum monthly deposit	What you must save each month to stay active. Kencream lists KSh 3,000 for salaried members and KSh 1,500 for non-salaried members.

Fees and minimums change; confirm current figures with the SACCO. Remember that minimum share capital cannot be refunded when you leave. You would need to sell it to another member. Buying shares from an exiting member through SaccoLink's marketplace can sometimes lower that upfront cost.

6. How easy it is to leave

Ask for the withdrawal notice period and any early-exit charges before you join. Several SACCOs, including NSSF, Kencream and Mhasibu, publish a 60-day notice period. Ask whether the SACCO helps exiting members find buyers for their shares.

7. Service and access

Is there a branch near you, or can you do everything by phone?
Does it offer FOSA services (salary processing, withdrawals), or only BOSA savings and loans?
How quickly are loans processed once approved?

A quick scorecard

I qualify under its common bond.
It appears on SASRA's current list, and I know which type of licence it holds.
I have seen at least three years of dividend and deposit-interest rates.
I know the loan multiplier, waiting period and guarantor rules.
I know the entry fee, minimum share capital and monthly minimum.
I know the notice period for leaving.

If you tick all six, you are choosing on facts rather than on a friend's recommendation alone.

Sources

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