By Kamundia Muriithi.
Members of Winas Sacco Society Ltd who default on loans advanced to them will have their names listed by Credit Reference Bureau (CRB).
The Sacco through a paid up newspaper notice dated May 5, 2017 warned that non-performing loans would be forwarded to the CRB.
“This is to notify all members that Winas Sacco Society Ltd has enlisted to join the Credit Reference Bureau. Consequently, non-performing loans (unpaid for 90 days) will be listed as provided for under Section 18 of the Credit Reference Bureau regulations, 2013.
“Members with non-performing loans are hereby notified to clear them or visit the Sacco’s office at Embu within 30 days from the date of this notice to agree on an acceptable repayment plan. Failure to comply will automatically lead to listing as defaulters,” the notice stated.
Members were further warned that loans listed with the CRB will remain on their credit report for a period of five years even after they have been cleared.
This may affect their access to credit from other financial institutions in future.
In the Chairman’s report read during an Annual General Meeting (AGM) in February for year ended December 31, 2016, the Sacco revealed that it had partnered with Metropol CRB to expose defaulters as per the report compiled by the Supervisory Committee headed by David Kathuri.
The number of members with loans stood at 10,917 and loan defaulters 46 as at at December 31, 2016.
During the year, the Sacco realised growth in income to Sh611 million up from Sh483 million in 2015.
The Sacco declared dividends on share capital at the rate of 14 percent in the year ended December 31, which is an improvement from 13.6 percent in 2015.
It also declared a dividend on member’s deposits at the rate of 12.5 percent; which was an improvement from last year’s 12.2 percent.
The Sacco’s Board Chairman, Mr Robert Njue revealed the Sacco’s loan book went up by Sh812 million; total members deposits by Sh372 million, total reserves by Sh235 million,while membership increased by 2,867 to 11, 176 up from 8,309 in 2015.
The 40-year-old Sacco formerly known as Embu Teachers Sacco also grew its assets base from Sh2.7 billion to Sh3.4 billion, he said.