Products and services

Our services

Financial Services

Credit Services

Regular Credit

WACCU provides short to medium term loans to its members. The types of regular lending services provided to members are Long-term, Overdrafts, Loan within savings and short term loans.

Credit Services

Microfinance Services

WACCU’s provides uncollateralized credit to its members as loan capital through groups known as community banks. The average loan size increases progressively according to the member’s business capital needs and previous performance. The credit is meant to help grow the business of the micro entrepreneur who could not have had access to credit from our regular lending program. The credit is given to existing businesses and not to start-ups. The credit is given and paid over periods called cycles and it is paid with interest in equal instalments.

Savings Mobilisation

While loans are the primary products of WACCU, savings mobilisation is yet a by-product of the main financial service of credit. Savings mobilisation becomes an important factor to members as the savings accumulate and the groups become cohesive and matured. In most cases membership and community banks become the first opportunity for members to be able to put aside a fraction of their revenue as savings. Community Banks become an effective vehicle for the small savers who cannot save on their own.

The two (2) main types of savings are:

Normal/Regular Savings:
Youth/ Child Savings

The savings fund offer several advantages to our members:

Savings offer members the ability to accumulate funds – using their savings; members can cater for their consumption needs, such as school fees, medical, home improvement and acquisition of assets.

Savings provide a source of ongoing credit. Through savings a member/community bank can build their capital base to the extent that they are able to stand firmly on their feet and access higher loans from our regular lending program.

For Microfinance members, it facilitates a smooth graduation process from the programme – the community bank may not always want to depend on the group methodology for loans, as such savings fund may provide a facility to bridge the gap in such circumstances. Mature members are encouraged and groomed to move out of the groups to stand on their own.

Savings requirement develops financial discipline within the membership/groups and helps enhance the appreciation of the practice of saving, this in turn increases the self-esteem of individual members.

Savings can be used in emergencies – through their own mechanism and consent a member of a community bank or an individual member may borrow from the savings funds to cover personal emergency expenses such as medical expenses, natural calamities. This helps to stabilize the community banks’ repayment as members’ business are guarded from being liquidated by a family emergency.

Savings form a source of community investment – a savings fund if properly managed could be a source of funding for both members and non-members in a given community. It can also be used to test potential members for a community bank.

Savings develop leadership and joint decision-making abilities – this enhances members’ capacity in managing the Community Bank and their own individual affairs.

Micro Insurance

This product has been developed by MicroEnsure and WACCU is an agent. Through this collaboration, we are able to provide social insurance to our microfinance group members.

Our services

Non-Financial Services

Business Management Training and Counselling

Business counselling is an important service offered to members of WACCU, before and after the disbursement of credit (Microfinance Members especially). This is an ongoing activity carried out mainly by Field Officers in the field as they execute their work. Very often, field officers are called upon to render business advisory services to members especially in the areas of product/service marketing, business viability and diversification. There is a business management-training package developed for clients with the aim of building their capacity to manage their businesses successfully.

Linkage with Ministry of Food and Agriculture.

WACCU is linking up with the ministry of Agriculture to provide technical support and extension services to those members who access WACCU loans for farming.

Community Banking Methodology

In delivering its Microfinance services WACCU has adopted the Community Banking Methodology. The Community Bank Methodology is defined as a group lending and savings methodology specializing in the development of local leadership and transformation of lives of the economically active poor within our catchment area. Members are made to form groups of between 15 to 35 members made up of solidarity groups with members between 5 and 7. The Bank is self-formed, managed and democratic. Members co-guarantee each other’s loan and there is strong dependence on peer pressure to ensure the repayment of loans.