Home How group lending works for cooperatives
How group lending works for cooperatives
Members borrow individually, guarantee each other, and repay through the cooperative.
Group lending lets members of a registered cooperative or trade association borrow without individual collateral. The group’s joint guarantee takes its place.
1. Register the cooperative with its registration certificate, executives and member list.
2. Attend a pre-loan orientation — a short financial-literacy session for members.
3. Submit member allocations showing how the facility is shared across members.
4. Sign the joint guarantee; funds are then released per member, and repayments are collected through the executives.
You can register your cooperative online from the Cooperatives page.