Mwalimu National Sacco, How to join the Sacco, Savings products, Loans, Paybill Number and Customer Care Contacts

Mwalimu National Sacco is among the most popular Saccos in Kenya. It offers members a chance to save money, earn dividends, get loans and earn dividends. Below are details about the sacco:
Who is eligible to join Mwalimu National Sacco Ltd as a member?
Anyone from the following categories can join the Society: TSC secretariat, TSC secondary school teachers, TSC lecturers, TSC primary school teachers (Diploma or Degree graduates), members’ spouses and children in formal employment, Ministry of Education staff, Mwalimu National Sacco and its subsidiaries’ employees.
What do I need to join Mwalimu National SACCO Society Ltd?
The following documents are required:
 A fully filled membership application form
Copy of the National Identity Card (Both sides)
An original current pay slip,
Three recent color passport size photographs.
Class – B – Membership
(a) Students undertaking education-related studies leading to diplomas and degrees, in technical colleges and universities recognized by the Ministry in charge of Education;
(b) Members who have withdrawn their deposits and have not yet transferred shares to another member;
(c) Members by share capital.
What is a Burial Benevolent Fund (BBF) and how do I benefit from it?
BBF is a social Welfare fund that was established in July 1993 to accord members and their immediate family decent burials upon demise.
The member contributes Kshs.150 monthly. A member is required to specify his/her next of kin (i.e. the beneficiaries) prior.
Entitlements are as below:
Self – Kshs.60,000
Spouse – Kshs.55,000
Own Children – Kshs.35,000 (up to a max of 6)
Own Parents – Kshs.20,000
Parent in law – Kshs.15,000
What attachments are required when filling a BBF Claim?
 A copy of death certificate (Certified by and area chief or an advocate) or Burial permit
Birth Notification form or Birth Certificate (for all claims – own child)
Radio announcement or Newspaper caption or letter from Asst. Chief or Head of Institution
Any other document has to be specified and the copies thereof enclosed.
What do I need when applying for a Loan at Mwalimu Sacco?
A fully completed loan application form.
Attach an original, most recent, certified pay slip. (Should not be more than two months old). TSC employees are requested to release their payslips through the TSC portal.
A copy of an acceptable form of identification (National ID/Valid Passport).
Guarantors should be active members and have contributed for at least three months. Guarantors and applicants shares MUST be equal to or more than the loan applied for.
One must have been an active member for at least three consecutive months.
Must I have guarantors when applying for a Loan ?
Yes indeed. Loans granted by the society must be fully guaranteed by members of the society. Guarantors and applicants shares MUST be equal to or more than the loan applied for. In special cases when loan is less/equal to shares one could guarantee him/herself.
How much can I Borrow?
The society offers different loan types depending on your need. One may borrow from a range of 3 to 6 times his/her savings depending on her needs and subject to a third take home rule.
How long does it take for a member to get a Cheque after Loan application?
Loan processing takes a maximum of four working days which is dependent on availability of all necessary documentations as lodged by a member upon application and the type of loan applied. Emergency/medical/school fees loans take up to a maximum of two days.
How do I qualify for a Loan?
To qualify for a loan, you have to:
Be a registered Mwalimu National SACCO Society member
Contribute regularly for at least 3 months with an exception given to Wezesha loan. New members benefit from Wezesha loan immediately after their first direct deduction is made.
Have at least three guarantors who are Mwalimu National SACCO members. They should have been contributing regularly for at least 3 months. The total shares for the applicant plus guarantors should be equivalent to or more than the loan amount applied.
Can I offset my deposits against my Loan?
A member is only allowed to offset his/her deposits against his/her loans if he/she is ceasing to be a member. He/She must then pay off the balance immediately if any. Offsets are only done when a member has asked those he/she has guaranteed to seek for guarantor replacements.
Can I apply for more than one Loan?
A member is allowed to take any loan products from different categories on offer as long as all lending conditions are met.
What is prorata? 
Prorata is the monthly minimum share contribution a member would be required to save each month based on the amount of loan given to him/her.
What do I need to do when withdrawing from the society?
The following are the steps to follow:
A member needs to inform the society in writing of his intention to withdraw. This is done by filling a withdrawal form which are readily available at our offices.
A member needs to inform all loanees he/she has guaranteed so that they seek alternative guarantor(s). Refunds will only be paid to the member after all Loanees have replaced the withdrawing member as guarantor. If the member has guaranteed any other outstanding loan, he/she will fill a substitute guarantors form available at our offices. The same form is signed by all the other two parties (outgoing and incoming guarantor(s).
How can I know my accounts balance and my loan application status?
You can get in touch with the office by talking to our Customer Care Representatives on telephone 020 29560000 or 0709898000. You may also choose to send as an email through mwalimu@mwalimunational.coop
Can I withdraw part of my shares/deposits or offset outstanding loan with my shares deposits and continue to be a member?
Partial withdrawal of shares is only allowed for retired members. No other member will be allowed to withdraw part of his/her shares deposit or offset part the shares deposits against an outstanding loan unless he/she ceases to be a member.
BOSA LOAN PRODUCTS
Back Office Services Activities (BOSA) is a department in Mwalimu National which offers various loan products against members’ deposits.
Wezesha Loan
Unlike ALL other products, WEZESHA (to enable) is the ONLY product that a member does not have to wait for six (6) months before applying for a loan. Mwalimu National enables YOU (new member) to access funds within your ability immediately your first  savings deduction goes through. ONLY 1/4 of the amount applied will be retained in the new members account as savings. The loan must be fully guaranteed.
Terms and conditions of wezesha loan
This product is for new members only.
Rate is 1.125% p.m. on reducing balance.
Wezesha loan runs for a maximum of 72 months
2% wezesha processing fee shall be charged on the amount to be advanced.
Maximum loan amount to be determined by the member’s ability subject to the loan being fully guaranteed.
The minimum period for a member to qualify shall apply as per the sacco by-laws.
Shares boosted shall earn dividends on pro-rata basis.
Emergency Loan
Granted for unforeseen circumstances.
Applicable interest rate is 1%p.m on reducing balance.
Repayable in 24 months.
Multipler is x5 (subject to 1/3 salary rule).
Only one emergency loan can be granted at a time.
School Fees Loan
Granted for education purposes only.
1% p.m interest rate on reducing balance.
Repayable in 24 months.
Maximum limit is a member’s deposit x5 (subject to 1/3 salary rule).
Only one school fees loan to be granted at a time.
Normal Loan
Granted as a short term loan aimed at helping members meet their immediate financial needs.
1% p.m on reducing balance.
Repayable in 48 months.
Limit is a member’s deposit x3 (subject to 1/3 salary rule).
One normal loan to be granted at a time.
Development Loan
Granted as medium-term loan for investment purposes.
Applicable interest rate is 1.125% p.m on reducing balance.
Attracts 0.5% processing fee.
Repayable in 60 months.
Maximum limit is a member’s deposit x 4 (subject to 1/3 salary rule)
One development loan granted at a time.
Super Loan
Granted as long-term loan for investment purposes.
Interest rate is at 1.17% p.m.
Repayable in 84 months.
Maximum limit is a member’s deposit x 4 (subject to 1/3 salary rule).
Attracts 0.5% processing fee.
Only one super loan granted at a time.
Vision 96
Long term loan for investment purposes.
Interest rate is 1.25 p.m on reducing balance.
Repayment period in 96 months.
Attracts a 1% processing fee.
The limit is a member’s deposit x5 (subject to 1/3 salary rule)
Ufanisi Loan
This is long-term loan product aimed at enabling you our member with salary ability but have low shares to access more credit by boosting your shares. A portion of the loan applied is retained as deposits enhancing your balance multiplier. 

The product features and requirements are:
Repayable in 120 months.
10 % share boosting fee applicable.
Deposit multiplier is 5 times the qualifying amount
Loan must be fully guaranteed
Only one Ufanisi loan can be granted at a time.
The member’s salary to be channeled through Mwalimu National Sacco FOSA.
Recovery is done at a monthly flat rate combining principle repayment with interest.
NB. Its MNS that does the boosting. If the member boosts by  himself/herself then it will have to wait for the mandatory 6 months before applying.
FOSA PRODUCTS
Front Office Services Activities (FOSA) is the banking arm of Mwalimu National that provides basic and affordable banking services to meet members’ needs.
Golden Product
GOLDEN PRODUCT 
We are glad to introduce to you a new retirees’ product called Golden account. This product is meant to provide a safe gap for you on retirement between date of retire and receipt of your pension.
 Product Features:
1.  Only retired members are eligible. These are members who are leaving employment due to mandatory/voluntary retirement and whose age is above 55 or retirement on medical grounds.
2.  The account to run for a maximum 24 months.
3.  The 50% funds transferred to FOSA to earn 5% interest p.a. on monthly balances.
4.   Utilise maximum 50% of the BOSA deposits net of all liabilities in the Sacco.
5.   Open monthly standing order from the Golden account to Fosa savings account.
6.   You can access Fosa advance against this deposit.
Requirements:
1.  Discharge letter (retirement letter); and
2.  You will be expected to provide the latest payslip and provide proof that the pension will be channeled through Mwalimu Fosa.
The way it would work:
1.  As you approach mandatory/voluntary retirement, engage Mwalimu on the amount you wish to access from BOSA in a phased manner. This amount will be pegged at a maximum of 50% of your deposits at the time.
2.   The funds will be moved to a FOSA Golden Account from where a standing order is drawn.
3.   The monthly standing order will transfer the agreed calculated amount to your FOSA Savings Account on 1st of each month.
4.   From the regular flow of this funds through the standing order, you are eligible to access ALL the FOSA products that an ordinary salaried member would access.
Karibu Loan
Mwalimu National is offering a tailor made product to Newly employed Teachers and Intern Teachers.
Product features:
Interest is 1.5% per month.
Eligible to newly employed TSC Teachers and Intern Teachers with Diploma and above.
One must fill the Society’s Membership application to join the SACCO as a member.
Repayment period is within 90 days (3 months) upon receipt of first salary.
Maximum loan amount is KShs. 60,000.00 for newly employed TSC Teachers disbursed in three tranches of KShs 20,000.00 per month for three months.
Maximum loan amount is KShs. 30,000.00 for Intern Teachers disbursed in three tranches of KShs 10,000.00 per month for three months.
The recovery period will be 5 months for each tranche.
90 days grace period from the date of loan disbursement.
Mode of recovery is salary, but any other legal source of funds is acceptable.
Requirements
Posting letter from TSC.
Copy of ID certified by the School Principal or Deputy Principal
Pay-point form signed by the School Principal or Deputy.
One guarantor.
Copy of TSC casualty returns
Salary in Advance
The Interest Rate is 5%.
Maximum amount borrowed is 80% of your net salary or S.A.Y.E
Repayable @ the end of the month
FOSA Instant Credit (36 Months)
FOSA instant credit (36 months)
Interest rate @ 1.5% per month on reducing balance
Repayment period is 36 months.
Maximum amount granted is your net pay or savings under S.A.Y.E x 20
FOSA Instant Credit (12 Months)
Interest rate is 1.25% Per month.
Repayment period is 12 months.
Maximum amount granted is your net salary x12.
Maximum amount granted is your savings under S.A.Y.E x 12.
Business Loans
COLLATERAL-BASED-LOANS-GUIDE
Background
Mwalimu National Sacco offers loans to its members where the member can utilize other forms of collateral besides guarantors. You can use property or a motor vehicle instead of guarantors to access a loan from the Sacco.
Who is eligible for a loan at Mwalimu National Sacco?
•    Must be a member of the Sacco.
•    Must be active i.e., having saved consistently for the last 3 months.
•    Must be a member in good standing i.e., has no defaulted loan.
•    Open and maintain Sacco FOSA account.
What documents are required to access a loan using collateral?
1.    Completed loan application form counter signed on each
2.    Copy of National Identity Card
3.    Copy of KRA Pin Certificate
4.    Copies of Security Documents in this case title deed, certificate of lease, certificate of title or conveyance or copy of logbook.
5.    Three months recent pay slips/paystubs applicable to those in employment
6.    Three months’ Salary Bank Statements
7.    Letter of confirmation of employment for employed applicants.
8.    Business registration certificates, Certificate of incorporation, Resolution to borrow by a limited liability company applicable to registered entities.
STEPS FOR SECURED LENDING-USING LAND
1.    Applicant provides all the documents as requested by the Branch Business Credit officer.
2.    Credit Officer reviews, and if all documents are submitted, shares a list of valuers & lawyers for members to select.
3.    Member shares the selected valuer and lawyer after negotiating and agreeing on the expected fees.
4.    MNS officially instructs the Valuer to undertake the valuation and property inspection/Due diligence on suitability for use as collateral.
5.    Valuer submits the report to the Sacco credit officer.
6.    Credit Sanction of terms and condition of the loan are issued to guide loan offer letter drafting.
7.    Sacco drafts and issues Loan offer letter to the member for execution and attestation for lending purposes.
8.    The member executes the offer letter notarizes the same and shares  with the Sacco together with the original title.
9.    The credit team, upon receipt of the documents, forwards to Legal Team for charging process       to commence.
10.    MNS Legal Team gives a go ahead to the credit team to proceed with disbursement once charging is completed.
11.    Credit team ensures insurance is in place there is a property, and all conditions are met as set in the offer letter and disburses the loan to the member account.
Frequently Asked Questions
1.    Why can’t the Sacco just appoint a valuer and a lawyer for the process? The cost of the lawyer and the valuer is borne by the member hence the member has to negotiate the rate directly for transparency.
2.    I do not know any lawyers or valuers to enable me to choose from the list shared. What do I do? The Sacco has an approved list of valuers and can assist by setting up a conference call to enable conversations.
3.    How long will it take for me to get the loan? The process takes a month due to the securitization process and external parties involved.
4.    What portion of the value of the land will be used to secure the loan? For a developed property we take 75% of the valuation plus accumulated savings for the member. For vacant or undeveloped land in urban areas we take 60% plus accumulated savings for the member. For agricultural land we take 50% plus accumulated savings for the member.
5.    What portion of the value of the Motor vehicle will be used to secure the loan? We take 60% of the valuation plus accumulated savings for the member, however where the application falls under asset    the percentage might be up to 90% depending on the condition of the car.
6.    Does year of manufacture affect use of motor vehicle as security? Yes, it does as the Sacco only allows motor vehicles within 12 years of year of manufacture to be used as security.
7.    If using land as security that has property already built am I required to have the house insured? Yes, a member will be required to provide proof of comprehensive insurance of the property. The Sacco is also able to facilitate provision of the insurance at the member’s cost.
8.    If using Motor Vehicle as security am I required to have it insured? Yes, proof of a comprehensive insurance is required to be provided before loan is disbursed. The Sacco is also able to facilitate provision of the insurance at the member’s cost.
9.    Can I use a joint owned property or a third-party property as security? Yes, you can and the same procedure for securitization will apply, save that the charge will contain additional requirement for the co-joint owner to give his consent to the charge through an official affidavit and Personal guarantee and Indemnity.
Mwalimu Insurance Premium Financing
Product Features
Name: Mwalimu Insurance Premium Financing
Loan to acquire Insurance Premiums for all needs and other fees e.g., Motorcycles, Motor car, Machineries, properties, domestic animals and business stock, crop, green house.
Loan Term of Up to 10 months.
Flexible repayment arrangement.
Disbursement in cheque drawn in favor of the insurance company.
Cover will be through MNS Risk and Insurance brokers Ltd.
Security: –
Asset documents lodged with the SACCO.
The comprehensive cover
The borrower to meet 10% of the total premium before signing of the IPF application and agreement form.
2 Guarantors
Confirmation of Asset bought or being insured
Price
Interest rate at 10% flat rate
Default Management:
The cover is cancelled as soon as the insured does not respond to 1^st notice within 30 days.
Pricing as per the tariffs schedule
Asset Financing
PRODUCT FEATURES
Terms & Conditions
The asset being financed shall be jointly registered between Mwalimu National Sacco and the Borrowing Member before loan disbursement.
Where the Member is borrowing asset finance to invest in commercial business, the member must demonstrate experience of having been in that line of business and provide proof of; –
Ownership of a fleet of not less than 2 assets which one of them must be debt free.
Repayment track record.
All assets financed by the Sacco shall always be comprehensively insured through MNS RIB Ltd during the loan term and MNS Interest noted as “Financier/First loss payee.”
All movable assets financed by MNS shall always be installed with GPRS tracking device by a tracking company in Mwalimu National Sacco Panel.
Vehicle valuation for used or imported vehicles will be undertaken at Members cost.
Costs associated with Insurance, Valuation and Installation of car tracking devices will be borne by the borrowing member.
Features;-
Receive up to 80% financing for brand new vehicles.
Loan repayment period of up to 5 years for brand new vehicles
Up to 70% financing for used commercial / personal vehicles.
Loan repayment period of up to 3 years for used commercial / personal vehicles.
Up to 60 % financing for used PSV vehicles.
Loan repayment period of up to 2 years for used PSV vehicles.
Minimum monthly income for eligibility – KES 40,000
Insurance for vehicles / equipment will remain comprehensive through MNS Risk and Insurance Brokers Ltd for the period the asset is under finance unless exceptions are sought.
Repayment period from 1 to 5 years
Disbursement in cheque/RTGS in favor of the dealer/Vehicle vendor
Security – Asset financed and both jointly registered between MNS and respective borrower.
Asset documents lodged with the SACCO’s lending department and held in custody throughout the loan term.
2% Loan appraisal fee (one-off),2% insurance fee (one-off),Interest rate at 15 % yearly reducing balance basis.
Exclusions
The Sacco will not finance start-ups in Business.
The Sacco will not finance luxury vehicles and vehicles deemed to depreciate or lose value faster.

ASSET FINANCING SCHEDULE-FINANCING OPTIONS

 
REQUIREMENTS
Individuals
Fill loan application form
Copy of Identification document
Copy of KRA PIN Certificate
Pro forma invoice/sale agreement of asset being financed.
Six months Bank statement duly certified
SUPPORTING DOCUMENTS:
Sales agreement/Proforma invoice for asset being financed.
Copy of Logbook for used assets.
Latest 3-month payslips
Contracts being serviced if any for commercial assets.
Other features:
v  Insurance premiums financing shall be arranged through MNS Risk and Insurance Brokers Ltd.
Kenya Mortgage Refinancing Loan Product
KENYA MORTGAGE REFINANCING LOAN PRODUCT
Mwalimu National Sacco as one of the Primary Mortgage lenders in partnership with Kenya Mortgage Refinancing Company (KMRC), has rolled out affordable housing mortgage scheme at competitive pricing. The Board approved roll-out of the product through a refinancing scheme for purchase of residential houses at Kisaju Park as phase one (I) of the implementation of mortgage lending solution to all the Sacco Members.

PRODUCT FEATURES

WELFARE SERVICES
We look at our members beyond savings and borrowing, we try to ensure that our members are comfortable, healthy and have a peace of mind. We are all not able to predict what may happen in the next minute or second. In this regard, Mwalimu National has put measures in place to support members in times of need.
Risk Fund.
A compulsory insurance scheme for all members.
Monthly contribution is Kshs.400. 
The funds are used to offset outstanding loans of the deceased member,
pay last respect benefit
double the deceased savings which are paid to his/her nominee.
Last Expense Benefit (Paid in addition to Sacco’s BBF benefits)
Members are requested to confirm and update their nominees with the Sacco to avoid legal tussles. In case of more than one nominee, the percentage allocation for each nominee should be clearly indicated.
Burial Benevolent Fund (BBF)
It is a mandatory fund used to accord members and their immediate families a decent send off.
Monthly contribution is Kshs.150
Document required when lauching  a claim:
Certified copy of death certificate/burial permit
Birth notification form/birth certificate (for claims on own child)
Radio announcement or newspaper caption or letter from assistant chief/head of institution
Any other supporting documents
REQUIREMENTS DURING LOAN APPLICATION
 A copy of National ID Card / Passport
An ORIGINAL PAYSLIP not more than TWO months old.
A fully filled OFFICIAL loan application form.
The loan must be fully guaranteed.
Other conditions applicable
Prorata
This is a percentage of savings pegged on the amount of loan a member borrows. Prorata encourages a savings culture. Guess what?……………………………………..your next loan will be bigger than this current one because, prorata will enable you increase your savings and you will also enjoy a very good dividend percentage at the close of the financial year.

1. Minimum monthly share contribution applicable after loan approval is a percentage of the loan depending on one’s deposit balance as follows:
N/B: The above prorata factors have been suspended effective 1st September, 2022 to 31st December, 2022 for ONLY new major loan applications with a minimum monthly deposit contribution of KShs.2,000 in the interim.
2. Approved loans shall be paid through the FOSA account.
3. Members can qualify for all the above loan products at any given time provided that TOTAL OUTSTANDING LOANS SHALL NOT EXCEED FIVE TIMES A MEMBER’S DEPOSITS subject to the 1/3 salary rule.
Senior Saver Loan
Senior Saver is a tailor made loan product for our senior saver members who have garnered Back Office savings of up to KShs. 1.5M.
Under this particular product, the 1/3 rule does not apply. Members are encouraged to open a Biashara account at any Mwalimu National FOSA branch. You can channel your business proceeds, Salary, Pension or any other cash flows through this account.
Do not limit yourself, come we actualize your dream!
Targets Society’s members who religiously have saved deposits of Ksh.1.5million and above.
Aims at opening up a new credit line for Senior Savers to access loans against their savings without being hindered by the 1/3 rule thus provide a source of finance to strengthen and grow their investments.
Made available exclusively to members who have made substantial savings with Mwalimu National but cannot enjoy a multiplier of their savings. Most of these members often request for partial withdrawal of their deposits to meet their needs.
A majority of whom are nearing retirement age or are retired and running business ventures.
Eligible members:
Senior Savers with savings more than their loans and have not guaranteed others can use the difference to get other loans provided the total loan does not exceed 85% of their free deposits.
The loan must be self-guaranteed.
To qualify, one must maintain direct deposit of his/her pay/retirement/pension, including social security and retirement cheques, into a Mwalimu FOSA salary or savings account (ECB account). Having direct deposit into a Mwalimu FOSA account will provide member with other benefits like ATM cards, WSF advances and also allows the member a safe, convenient and automatic way to receive his benefits.
Product features:
Minimum deposits of KShs.1.5 million
Processing fee of 2%
Security: member deposits and conventional collaterals (where amount borrowed exceeds member’s deposits)
Maximum loan amount is Kshs.15 Million
Maximum loan repayment term is 120 Months
Loan eligibility is subject to member demonstrating ability to repay, sufficiency of collateral and business appraisal.
Mwalimu Sacco Customer Care Contacts
Mwalimu Towers,
Hill Lane, Off – Mara Road, Upperhill.
P.O. BOX, 62641 – 00200,
Nairobi, Kenya.
Tel: 020 295 60000, 0709 898 000
Free SMS Line: 20156
Email: mwalimu@mwalimunational.coop
Mwalimu Sacco Paybill Number
Mwalimu Sacco Payill:541900