Members of Kenya Police Sacco pay up to a whopping 48 percent annual interest on some loans.
Kenya Police Sacco offers most the expensive loans compared to similar Saccos like Mwalimu Sacco and Harambee Sacco.
According to our research, the 63,000 members of Kenya Police Sacco pay up to a whopping 48 percent annual interest on some loans.
The Sacco whose membership is drawn mainly from the police force, charges interest of 4 percent per month (48 percent annually) on Golden Fosa loans.
It also charges interest of 3 percent per month (36 percent annually) on Fosa advance loans.
Harambee Sacco, on the other hand, charges only 14 percent annually on salary advance.
On school fees loans, Kenya Police Sacco charges 13.5 percent reducing balance while Harambee Sacco charges only 1 percent reducing balance.
Mwalimu Sacco, with over 60,000 members, also charges only 1 percent on reducing balance on school fees loans.
Mwalimu Sacco also charges a high 5 percent per month (60 percent annually) on salary advance.
On Mega loans (development), Kenya Police Sacco charges 15 percent on reducing balance while Harambee Sacco only charges 1 percent reducing balance on development loans.
When it comes to emergency loans, Kenya Police Sacco is still the most expensive with interest rate of 13.5 percent on reducing balance.
Harambee Sacco and Mwalimu Sacco charge only 1 percent reducing balance on emergency loans.
When it comes to Benevolence Cover (Sink Fund), Kenya Police Sacco members contribute Shs 350 per month but pays only Shs 70,000 if the member dies. It also pays Shs 40,000 in case of death of spouse an Shs 30,000 for child. They do not pay for parents.
On the other hand, Harambee Sacco memebrs contribute only Shs 300 monthly but pays out Shs 150,000 if the member passes on. It also pays Shs 100,000 for spouse or child. Further, Harambee Sacco pays Shs 50,000 if a parent to the member dies.
Mwalimu Sacco members contribute Shs 450 per month. The Sacco pays Shs 80,000 in case of death of member, Shs 50,000 for spouse and Shs 25,000 for child.