Alarms Sacco Cooperative Society has made a remarkable stride in its mission to support members by allocating Ksh 13,441,119 million specifically for school fee loans in the financial year 2024.
This financial assistance, provided as loans, aims to alleviate the burden on parents and guardians, ensuring that children can continue their education without financial hindrance. This initiative highlights the cooperative’s commitment to its members and the importance of funding educational needs.
The chairman, Mr. Milton Mukhutsi, made this announcement during the cooperative’s Annual General Meeting (AGM) held in Mombasa on 30th November. He emphasized that the society’s success is largely due to the unwavering engagement and support from its members. Mr. Mukhutsi revealed that the cooperative has disbursed a staggering Ksh 63 million in credit loans to members in 2024 alone.
“This achievement is a testament to the collective effort of our members and the prudent management of resources by the cooperative,” he said.
Advancing Towards Full Digitization
In response to growing technological trends, Alarms Sacco is making significant progress in its transition to a fully digital platform. Members now have access to a range of credit products and services through a newly developed digital infrastructure, including mobile loan applications. The chairman highlighted the convenience this development brings, allowing members to interact with the cooperative without the need to visit physical offices.
“We are progressing in digitization because it is where we all ought to go. This shift is designed to save time, reduce costs, and enhance service delivery,” he said. The chairman encouraged all members to register for the mobile service, assuring them that the digital platform is user-friendly and secure. This innovation aligns with the society’s broader goal of modernizing its operations to meet the changing needs of its members.
Advisory on Loan Guarantorship
During the AGM, members were reminded of the responsibilities that come with acting as loan guarantors. The Chair urged members to exercise caution and due diligence when agreeing to guarantee loans for others.
“Being a guarantor is not just a formality; it’s a financial commitment. Members need to think carefully to avoid future regret or strain,” he advised.
To mitigate potential challenges, Alarms Sacco is developing an automated system to track guarantorship eligibility periods. This system will enhance transparency and provide members with clear insights into their financial obligations. The innovation will also prevent members from unknowingly overcommitting as guarantors for multiple loans, fostering a culture of responsible borrowing and lending within the society.
Growing Membership and New Welfare Initiative
In the year 2024, the cooperative has recorded a significant milestone by recruiting 143 new members, a development hailed by the society’s CEO, Mr. Ben Bynito, as a step forward in strengthening the cooperative’s community presence.
“An expanding membership base is essential for the growth and sustainability of any cooperative. We are proud to welcome new members who share in our vision of mutual support and collective progress,” Mr. Bynito stated.
In addition to financial services, Alarms Sacco announced the launch of a new welfare initiative called ASWAK. This program aims to foster unity among members and provide a safety net during crises and emergencies. The welfare initiative is expected to address not only financial challenges but also social and emotional needs, strengthening the sense of community within the society.
“ASWAK is more than a welfare fund; it is a testament to our commitment to holistic member support. Whether it’s during times of joy or hardship, ASWAK will ensure that no member is left to face challenges alone,” said Mr. Bynito.
The Road Ahead
As Alarms Sacco continues to grow, its focus remains firmly on the well-being of its members. The cooperative’s dual emphasis on modernizing operations through digitization and expanding member support initiatives demonstrates a forward-thinking approach to cooperative management. With the disbursement of substantial school fee loans, advancements in digital service delivery, and the introduction of ASWAK, Alarms Sacco is setting a benchmark for other cooperatives in Kenya.
