How to sell your SACCO shares to another member

Updated 26 September 2026

SACCO share capital is not refunded when you leave, so the usual way to get your money back is to transfer the shares to another member. This guide walks through the process from finding a buyer to the SACCO approving the transfer.

If you are leaving a SACCO, or you simply want cash out of the shares you bought years ago, you will quickly learn that share capital does not work like your deposits. The SACCO will not hand it back to you. What you can do is sell it to someone who is, or is about to become, a member. This guide explains why, and how to do it without getting stuck.

Why the SACCO will not refund your shares

Share capital is the part of your money that makes you an owner of the SACCO. The regulations for deposit-taking SACCOs say plainly that a member "may transfer shares to other members on leaving membership of a Sacco Society, but the Sacco Society shall not refund shares" (regulation 21(3) of the Deposit-Taking Sacco Business Regulations, 2010). The 2020 regulations for non-deposit-taking SACCOs contain the same rule (regulation 22(2)).

SASRA, the regulator, repeats this in its 2024 Supervision Report: once purchased, shares "become equity capital of the SACCO Society, and cannot be refunded, but may be sold and/or transferred to any other member or new person seeking membership." The same report notes that claims for refunds of savings, deposits or share transfers made up 491 of the 764 complaints SASRA handled in 2024, about 64%. Many of those were members who expected their shares back in cash.

Your deposits are different. They are refunded when you leave, once your loans and guarantees are cleared. See our guide on share capital vs deposits if you are unsure which is which on your statement.

Before you look for a buyer

Get a current statement. Ask the SACCO for a member statement showing your share capital separately from your deposits. The share capital figure is what you are selling.
Read the transfer rules in your by-laws. SACCOs set their own conditions. Several SACCOs, for example NSSF Sacco and Kencream Sacco, say on their websites that a share transfer is only possible when the member is withdrawing from the SACCO. Others may allow transfers in other situations. Ask the office.
Check for loans and guarantees. SACCOs generally will not complete an exit while you owe them money or are guaranteeing someone else's loan. Mhasibu Sacco, for instance, states that members cannot withdraw while guaranteeing another member's loan. Sort these out first, because a buyer will not wait months.
Ask for the share transfer form and the fee. Most SACCOs have a standard form. As one example, Nyati Sacco's form has one part for the member transferring shares and one for the member accepting them, and asks the buyer to pay a transfer fee of KSh 200 and attach ID copies of both members. Your SACCO's fee and paperwork may differ.

Step by step: selling your shares

Decide your asking price. Share capital is usually sold at a discount to its face (par) value. We explain why, and how to choose a figure, in how to price SACCO shares for a quick sale.
Find a buyer. Start with people inside the SACCO: colleagues, members at your branch, new members who still need to build up their minimum share capital. You can also list your shares on SaccoLink or browse buy requests from people already looking for shares in your SACCO. Listing is free and SaccoLink takes no commission.
Agree the deal in writing. A short signed note is enough: names, ID numbers, member numbers, the amount of share capital being transferred, the agreed price, and that payment happens only after the SACCO confirms the transfer.
Go to the SACCO office together, or follow its remote process. Both of you sign the transfer form. The buyer must already be a member, or join at the same time, because shares can only be held by members.
Wait for approval. The SACCO will check your account, your loans and your guarantees before approving. Approval is by the SACCO, not by you or the buyer.
Get paid, then confirm. The safest order is: the SACCO confirms the transfer in writing, and the buyer pays you the agreed price. Both of you should then get updated statements showing the shares moved.

SaccoLink never holds money or shares. Every transfer is completed at the SACCO office, and payment is between buyer and seller. Read our transfer safety guide before you meet anyone.

Why sell rather than just walk away?

Because walking away does not return your share capital. When you exit, the SACCO refunds your deposits (after deducting what you owe), but the share capital stays unless you have transferred it to someone. Selling it, even at a discount, turns money that would otherwise sit locked into cash in your hand.

Some members also sell because they want to leave quickly. Deposit refunds on exit can take time; the regulations allow a SACCO up to 60 days after your written notice to refund non-withdrawable deposits. Mhasibu Sacco, for example, asks for 60 days' notice but offers a 7-day option at a charge of 10% of the deposit balance. Selling your shares does not speed up the deposit refund, but it means the share part of your money is dealt with at the same time.

What if the member has died?

Different rules apply. Under section 39 of the Co-operative Societies Act, a SACCO may transfer a deceased member's share or interest to the person the member nominated, or to the personal representative. If you are handling a relative's SACCO account, go to the SACCO with the death certificate and ask about their nominee process before trying to sell anything.

Common reasons transfers stall

The seller is still guaranteeing someone's loan.
The buyer has not completed membership registration.
The SACCO's by-laws only allow transfers on exit, and the seller has not submitted an exit notice.
Names or ID numbers on the form do not match SACCO records.
The buyer would end up above a holding limit. The Co-operative Societies Act (section 15) bars any individual member from holding more than one-fifth of a society's issued and paid-up share capital. This rarely matters in a large SACCO, but it exists.

Quick checklist

Statement showing share capital separately
No outstanding loans, or a plan with the SACCO for clearing them
All guarantees you have given released or replaced
Transfer form, transfer fee and ID copies
Written agreement with the buyer: payment only after the SACCO confirms

Sources

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