Financial needs are here with us each and every day, and you cannot avoid them completely. Sometimes you need money, and you need it urgently, but not even your bank can lend you. You visit the bank, and all they tell you is the request cannot be granted at the moment. Feeling heartbroken, yes, but worry less. SACCOs are here to be your savior in your financial needs.
Saccos have become an option for people who are struggling to get money to push their projects. For instance, if you are a business person and you want money to run the business, the Sacco will be an ideal lender. On the other hand, in case you are employed on contract, a Sacco will be much ready to lend you money as compared to a bank. Joining and saving in a Sacco will benefit you in many ways as highlighted in the article.
You Will Save For Retirement
If you are thinking of saving, but you don’t have an idea yet on where and how to save, now you know, consider saving in a Sacco. You should consider saving your retirement money in a Sacco as compared to banks. This is because Saccos can give higher percentages of dividends annually. When you save more, this will translate to more earnings per year when you receive your dividends.
You Can Acquire Housing
Investing in a Sacco will benefit you because you can easily find a property to purchase. This is because some Saccos decide to invest in land. That means, the Sacco will buy a piece of land and then later their clients can purchase the land. The Saccos can also buy the land and build houses which customers can buy. You will buy the property and repay at a lower interest.
You Will Make Savings
One of the greatest advantages of joining a Sacco is that you will be able to save. Once you join the Sacco, you will be required to contribute money which will be geared towards your savings. Saving when you don’t have a goal is pretty hard. But once you have a commitment towards the Sacco, you will be able to save successfully. The Sacco will have you commit to a particular saving plan until the time you find something constructive to do with the money.
Access to Loans
When you compare Sacco’s to other financials, Saccos are more likely to grant you a loan. The Sacco will be much willing to give you a loan, and this can be based on the savings you have been able to make. The loan can be three or four times of the total savings. On the other hand, Saccos charge lower interest rates as compared to banks.