Dudu Sacco shall allow members to restructure existing loans under the following terms and conditions.

Features:

• The maximum limit for restructured loan shall be 10% of the Sacco societies core capital.
• The repayment period shall not exceed 72 months.
• The interest rate shall be 1.042% per month on reducing amortization method.
• The product shall not have cash benefits in terms of a member being left with cash to take home as a result of loan restructuring.
• The maximum entitlement shall be three times one’s savings.
• The repurchase commission for the existing loan is 1.5%.

Administrative provisions of the product:

• The applicant should write a letter requesting a loan restructuring stating justifiable inability to meet the loan installment(s). i.e., Loss of job.
• The applicant should fill a loan application form and attach necessary documents.
• The loan should follow the normal application and processing procedure.
• The loan should be fully secured.
• A member cannot access any other loan facility while servicing a Loan Restructure.
• Once a loan is restructured the member shall only be allowed to revert to the other loan products after one year of consistent payment.
• Motor Vehicle Logbook not to be considered as security for Loan Restructure Product.
• Repayments on restructured loans shall be reported to the Credit & Risk Committee on a regular basis.
• Dividends and interest shall automatically be retained for loan repayment purposes.
• Members contribute a minimum deposit and insurance.