At Lukhotse Savings & Credit Co-Operative Society, we offer several types of loans to our members. Our members enjoy low-interest rates and longer repayment times on their loans. Our loans are governed by our Loan Policy which can is accessible for viewing or download here. See our various types of loan products below:
Join our co-operative society today and begin your journey to financial freedom.
Our Loan Products
ORDINARY LOAN
For a member to be eligible for an ordinary loan:
A member must have completed 3 months membership as well as be an ordinary saver. A member will be allowed to borrow up to 2 times his/her savings.
Ordinary loans will be charged an interest of 1.8% per month of the remaining balance. No loan shall be granted to a member in excess of E200 000.00 (Two Hundred Thousand Emalangeni). The maximum repayment period is 72 months. Approval will be subject with ability to pay.
EMERGENCY LOAN
Emergencies include sudden hospitalization, funeral expenses, court fines and disaster by unforeseen circumstances (including mother, father, husband, wife, children and grandparents) but shall not include school fees, tax, house rent dues, shop dues, etc.
The maximum loan amount shall be E5000.00 and shall be payable over a 12 month period with an interest rate of 1.8% per month.
Only one emergency loan shall be granted to a member at a time. Repayment period shall be 12 months.
SHORT LOAN
The member should not have another outstanding short loan. Interest shall be levied at 10% per month on the balance.
Maximum amount to be loaned shall be E5000.00 and shall be reviewed from time to time. Repayment period shall be 12 months.
More Loans
SPECIAL LOAN
In order for a member to be eligible for a special loan, he/she must be within of two thirds of statutory deduction requirement inclusive of new instalment or deduction. The special loan shall be payable over a period not exceeding 12 months.
The interest shall be levied at 2.5% per month, on the remaining balance. Maximum amount to be loaned is E5000.00 (Five Thousand Emalangeni).
EDUCATION LOAN
Members are encouraged to save money towards education loans and can borrow up to 2 times their savings over and above the stipulated E12 000.00 Interest is at 2%
Notes On Loans
A member who settles his loan before stipulated time will be charged 3 months interest as a penalty.
The society will not grant a member who has borrowed twice as much as his savings, a second loan, until he has paid at least half of the previous loan and has serviced it for at least half the repayment period, with the exception of emergency loans.