Key Features

• Loan Type: Education Loan
• Eligibility:
  • Must be an active member of ELCT ND SACCOS.
  • Must have fully paid the minimum share capital of TZS 500,000.
• Loan Amount: Up to 3 times the member’s savings.
• Purpose: To finance school fees, tuition, books, accommodation, and other education-related expenses.
• Repayment Period: Determined based on the loan amount and the SACCOS lending policy.
• Interest Rate: As per ELCT ND SACCOS lending policy.

Procedures to Acquire an Education Loan

1. Membership Qualification

   • The applicant must be an active ELCT ND SACCOS member and have fully paid the minimum share capital of TZS 500,000.
   • The member must have sufficient savings to qualify for the loan (loan amount will be up to three times the savings).

2. Loan Application Submission

   • The member fills out an Education Loan application form, available at the SACCOS office or online.
   • The application must be accompanied by:
     • School/University admission letter or fee structure.
     • Proforma invoice or official fee statement from the institution.
     • Any other supporting documents required by the SACCOS.

3. Review and Approval by the Credit Officer

   • The Credit Officer reviews the application to ensure all requirements are met.
   • The application is forwarded to the Manager for further approval.

4. Approval Process

   • The Manager evaluates the loan based on savings, repayment capacity, and creditworthiness.
   • If approved, the loan is forwarded to the Accountant for processing.

5. Loan Disbursement

   • Once all approvals are complete, the loan amount is disbursed directly to the educational institution or to the borrower, based on agreed terms.
   • The member is notified via email or SMS about the loan disbursement.

6. Loan Repayment

   • The loan is repaid based on an agreed schedule, usually in monthly installments.