The main objective of the Sacco is to provide members with an opportunity to save funds and obtain loans for provident and productive purposes. However, over the year the society has diversified its activities and services in its endeavor to satisfy member’s demands.

WHAT PRODUCTS AND SERVICES ARE AVAILABLE IN THE SOCIETY?

Over the years the Society has expanded its services and products to meet diverse needs and aspirations of the members. The Society being a member owned entity prides itself in being member focused so that the development of products and services are centered around the members needs.

The Society has in store the following products and services for consumption by the members.

(a) Saving facilities

Members are afforded with the opportunity to save funds on monthly basis for utilization in future. Members are encouraged to accelerate their monthly savings to improve the total savings. Members are motivated to save through highest savers awards both at national and provincial levels.

Savings mobilization encourages members to continually save their money with the Society as the savings form the Society’s main source of funding. The saving is done through monthly contributions of not less than Kshs 1000/=

BENEFITS OF SAVINGS TO MEMBERS

• The more the savings the higher the dividends
• High savings means a higher value of loans one can acquire.
• Security for future economic needs

(b) Lending

The core business is to lend to members at affordable rates. The Society has tailored different loans to suit its members. The interest rate for the loans is on reducing balance.

(i) Loans for Development.

Loans for development are granted at two times the members savings and are repayable in 36 months.

Basic Requirement to qualify for Development Loan

1. One must be a member of Afya Sacco.
2. One must have contributed continuously for at least 6 months
3. A duly Completed application form
4. Have an account in Fosa if one intends to clear other outstanding loans through Fosa
5. Original pay slips for two months immediately preceding the date of application
6. A copy of the members national identity card
7. Copies of guarantors IDs
8. Meet the ability to pay requirement governed by the one third (1/3) rule.
   

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(ii) Emergency/School fees loans.

Emergency/School fees loans are granted according to the request
where the member has no outstanding loans. They are also granted at two times the members savings and are repayable in 12 months.

Basic Requirement to qualify for Emergency Loan
The basic requirements are similar to those for development loans.

(iii) Special Advances for loans clearance by cash -See FOSA services.

(c) Afya benevolent fund (ABF)

The contribution of two hundred shillings by members towards the ABF programme ensures that members savings and loans are insured in event of death.

Refunds of shares against deceased members are doubled while outstanding loans are written off through the ABF programme. The fund subsidizes funeral expenses by contributing 30,000/=, 20,000/= and 10,000/= in event of death of a member, spouse and child respectively. On resignation a member is refunded 50% of their total ABF contributions to build their savings if they have not benefited from any reimbursements for funeral expenses..

(D) Investments for members jointly with Society/ branch group ventures

The Society encourages the members to invest surplus funds viably. Members invested jointly with the Society in Afya Co-operative Investments. The Society facilitates the members to invest in Branch Group ventures whereby members identify projects at the Local levels and acquire them.

(E) Over the counter trading services

The OTC facility enables members to trade in the shares they own in the Afya Investments/Holding Co-operatives freely on willing buyers/willing sellers basis.

(F) Front office service activity (FOSA)

FOSA facilities offers services similar to those offered by Commercial Banks _ See FOSS services.

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(G) Decentralised Services

The Society decentralized various services to the Branch level. By bringing services at the members door steps; members are able to conveniently, access emergency loans, ABF funds and FOSA services.

(H) Personal Loans
The personal loan scheme was introduced in 2006 whereby the society partnered with select commercial banks to provide personal loans to applicants .Under this arrangement, members obtain loans from the select banks through the society. Interest charged on personal loan is 16% per annum on reducing balance equivalent to 1.3% per month. The upper limit for this loan is Kshs 3,000,000 (three million) and lower limit is Kshs 100,000 (one hundred thousand)

Basic Requirement to qualify for Personal Loan

1. One must be a member of Afya Sacco.
2. One must have contributed continuously for at least 6 months
3. A duly Completed application form
4. Have an account in Fosa if one intends to clear other outstanding loans through Fosa
5. Original pay slips for three months immediately preceding the date of application
6. A copy of the members national identity card
7. Copies of guarantors IDs
8. A copy of the certificate of the personal identification number (pin) for first time applicants.
9. Meet the ability to pay requirement governed by the one third (1/3) rule.

(I) Afya deposit taking microfinance
Afya Deposit Taking Microfinance Limited has already applied for a license to begin its trading activities. Once trading commences the company will provide Microfinance services i.e. provision of financial services to low-income clients, including consumers and the self-employed. The range of products to be provided under this service to be unveiled on successful grant of license to commence operations.

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