DT-SACCO vs NWDT-SACCO: What the Licence Allows

SASRA reported 177 licensed deposit-taking SACCOs and 178 authorised non-withdrawable deposit-taking SACCOs in 2024. Both groups are regulated, but they do not offer the same services.

What a DT-SACCO can do

A deposit-taking SACCO may offer withdrawable deposit accounts through its FOSA operations, subject to its licence and product approvals. Members may access salary accounts, payment services, ATMs, agents or mobile channels, depending on the SACCO.

What an NWDT-SACCO does

An authorised non-withdrawable deposit-taking SACCO receives deposits that are generally locked for the duration of membership and commonly used as collateral for loans. It does not offer the same withdrawable deposit business as a licensed DT-SACCO.

Registration is not the same as regulation

A cooperative may be registered under the Co-operative Societies Act without being licensed or authorised by SASRA to undertake regulated SACCO business. Members should check the current SASRA list rather than relying on a registration certificate or the word SACCO in a name.

Why the distinction matters

It affects how you access money, which products the SACCO may provide and which prudential rules apply. A member who expects a bank-like transactional account should confirm that the institution has a valid DT licence.

What regulation does not guarantee

Licensing reduces risk through standards and supervision, but it does not guarantee dividends, fast refunds or perfect management. Members still need to read audited accounts and monitor service and governance.

Bottom line

Ask two questions before joining: Is the SACCO licensed or authorised by SASRA, and does that status cover the service you want?

Editorial note: Check the current SASRA licence or authorisation list before dealing with an institution.