RWEKSA

SAVINGS
SACCO

THE

CONSTITUTION

OF

RWENZORI KYAMBOGO

STUDENTS’ ASSOCIATION

SAVINGS AND CREDIT SACCO

DRAWN BY THE MEMBERS ON THE …..…………

DAY OF…….………..2021
ARTICLE 1: NAME OF THE GROUP

1) The name of the group shall be RWEKSA SAVINGS SACCO. The group shall be non-
religious and political association that does not discriminate its membership on the basis
of the gender religious political differences.
2) It shall ne abbreviated as RSS

ARTICLE 2: LOCATION AND ADDRESS OF THE GROUP.

1. The physical location of the group and its offices shall be at Kyambogo University in the
Lecture theatre, Eastern end of the University. The office of the group is also located in
the same room.

ARTICLE 3: VISION, MISSSION STATEMENT AND OBJECTIVES.

a) Vision:
To have a poverty free society, improved life of Kyambogo University students.
b) Mission:
The group mission is to equitably empower all the RWEKSA members and improving
their life of living, group development.
c) Aims and objectives:
1. To promote the quality of life and household productivity amongst the group
members.
2. To establish a revolving fund and promote savings and credit culture in the group.
3. To conserve and protect the environment of students at Kyambogo University.

ARTICLE 4: GROUP MEMBERSHIP.

1. Membership shall be determined by the registered members of the group.

2. Every member shall attend the meeting every Sunday up to end of the cycle.
3. Every member shall pay nonrefundable fee of Shs. 1,000 every month for membership.
4. Every member shall bring Shs. 2,000 for membership.
 5. Members shall fulfill all duties assigned to them.
6. The group shall consist of both males and females to avoid inequalities
7. One shall be registered a member after proof that is 18 years and above.

ARTICLE 5: ROLES AND DUTIES OF THE EXECUTIVE.

The group shall have the following officers:

1. Chairperson, whose role is to;

 Have the meeting begin on time and run efficiently.
 Assure that the other officers carry out their roles effectively.
 Levy fines impartially and regularly for members according to this constitution.
 Represent the group to the outside community as necessary.
 Assure that the group and the members respect this constitution.
 Shall work hand in hand with the secretary to call meetings.
 Shall together with the secretary prepare the agenda of the meeting.
2. Vice Chairperson
 Shall assist the chairperson in all duties.
 Deputize the chairperson in absence after special advice is done by the chairperson.
 Shall report to the Chairperson on matters that happened in the office during his or
her absence.
3. Executive Secretary.
 Records the minutes during the meetings held by the organization.
 Keeps minutes.
 Prepares and submits necessary reports.
 Responsible for proper administration of any secretarial work.
 Issue notices for meetings to be held
 Shall take and file minutes of the group and cause minutes to be taken of every
meeting and such minutes shall be signed by the chairperson of the meeting at
which they are read and shall as between the members of the group be conclusive of
the facts stated there.
 Shall cooperate with the Chairperson to call meetings
  May chair meeting in the absence of the chairperson and the Vice Chairperson.
 Shall be a signatory of the group Bank account
 Shall keep an up to date record of members register and all transactions of the
group.

4. Executive treasurer.
 Keeps proper books of accounts.
 Submit to the Chairperson the final reports as may be required.
 Supervises the collection of funds.
 Banks all the collected funds of the group.
 Issues receipt for cash and cheque received.
 Keeps records of all assets and liabilities
 Assures that procedures are followed for the security of assets and the
confidentiality of records between meetings.
5. Legal advisors.
Shall be responsible for organizing members and giving legal advice to the group
members.

ARTICLE 6: CONDUCTING OF THE ELECTIONS TO FILL VACANT POSTS.

1. Elections shall be held at the beginning of every cycle.

2. There shall be at least two candidates for every post they are contesting for.
3. Nominations shall come from the floor and members may nominate themselves.
4. Elections shall be conducted by secret ballot.
5. Any member can call for a vote of no confidence in a member of the Management
Committee.
6. A vote shall be held if a quorum of members is present.
7. The vote shall be passed by a majority of the voting members, the member must step
down from the Management Committee and another member shall be elected to fill the
position.
 8. Quorum: a quorum of members shall be necessary for any decision to be taken,
including elections. A quorum is defined as at least two thirds of the members.

ARTICLE 7: MEETING THE GROUP.

Attendance;

1. Members are expected to attend every meeting. However, if a member has a reason
such as illness, work or travel that makes it impossible to attend, the member should
communicate that reason in advance to the Chairperson who may excuse the member.
2. The meeting shall always be held every last Sunday of the Month and communications
shall always be done before the meeting by the responsible person.

ARTICLE 8: MEMBERS’ SAVING.

1. Each member agrees to save a minimum of 1,000 Uganda shillings at each meeting.
2. Members who shall not attend the meeting should send in their savings with another
member.
3. To facilitate proper book keeping, members should save an exact multiple of the
minimum savings amount.
4. If a member fails to save, they shall make it up without penalty at the next meeting. If
the member fails to save two consecutive meetings, they must make up both minimum
amounts plus a penalty.
5. The secretary shall inform any member of the exact amount saved to date by the
member on request during the meeting.

ARTICLE 9: BORROWING OF FUND BY THE GROUP.

1. Once the group’s total saving have achieved adequate amount, members may request to
borrow from the group.
2. The chairperson after consultation with the members shall determine when it is time to
start borrowing.
 3. Members can borrow up to two times the amount they have saved during the cycle, and
the record keeper shall verify that each loan request conforms to that principle.
4. A member can only have one loan at a time.
5. The maximum length of loans is one month.
6. The rate of interest to be charged every month until the loan is repaid in full is 10%.
7. When a member does not repay a loan on time, he or she shall not be eligible to take
out another loan until one month after the loan in arrears has been paid.
8. Until the loan is repaid, the member will still be required to save, contribute to the
Social Fund, and pay interest every Month until the loan is repaid.
9. When a member does not repay a loan by the end of the cycle, the outstanding loan plus
any unpaid interest will be deducted from the member’s savings prior to share-out.
10. A member who requests for a loan shall be asked to fill the loan application form.
11. A member who requests for a loan shall be asked to bring at least two guarantors who
shall be members of the group and at the same time saving in the group.
12. A University ID and National ID shall be a pre-requisite.

ARTICLE 10: MEMBER LEAVING THE GROUP.

If a member leaves the group during a cycle for a compelling reason (for example, health reasons
or moving away) the record keeper shall calculate how much they must be paid using the
following principle;

1. They shall receive their total savings minus any outstanding loans including interest
and outstanding fines.
2. The group shall decide that they can take their money at the time they leave the group,
or will require that the member wait until share-out.
3. If they receive a payment during the cycle, they shall not receive any additional interest
payment.
4. If they leave their money in the group until the end of the cycle, then they share in end
of cycle payout as all other members.
5. Their share shall be sent to the member’s forwarding address at the end of the cycle.
 6. With the group’s permission, a member who moves away shall be allowed to continue
as a long-distance member of the group until the end of the cycle. In that case, they will
make payments electronically and shall be expected to observe all group rules except
those having to do with attendance.
7. If a member leaves the group before the end of the cycle for no reason other than their
preference to leave, they shall not participate in the share-out.
8. A member may be expelled from the group by a two thirds majority of members
present for extraordinary circumstances such as insulting another member,
inappropriate sharing of information about the group. The expelled member shall not be
eligible to participate in the share-out.
9. If a member dies, the record keeper shall calculate how much money should be given to
their heirs, using the following principle;
10. At the time of share-out, the designated beneficiary shall receive what the member
would have received based on their total savings and outstanding loans and fines.

ARTICLE 11: SOCIAL FUND OF THHE GROUP.

1. The group shall maintain a social fund. Members shall each contribute amount 1,000/=
every month. This fund shall be kept separately from all other funds, and shall not be
used for lending, nor for administrative expenses. It shall not be shared-out, but instead
shall carry over into the following cycle.

ARTICLE 12: SHARING DIVIDENDS, PROFITS AND LIABILITIES.

1. The cycle of the group is at the end of the semester that’s after a 4 months period. No
new loans shall be made for about three weeks before the end of the cycle, unless
decided by the chairperson that a shorter period loan, repaid by the end of the cycle, is
appropriate. By the end of the cycle, all members must have paid back all outstanding
loans.
2. To prepare for the share out, the record keeper shall prepare a list of each member’s
savings, less any outstanding amount the member owes to the group. This is the base
amount that each member shall receive at share-out.
 The record keeper shall add up the total of each member’s base amount and subtract
that from the amount of cash assets of the group.
The remainder is called the “profit.” The record keeper shall calculate the amount of
profit that each member should receive, in addition to their base amount, by dividing
the profit in proportion to each member’s total savings.
3. The record keeper shall assure that the group has availed proper denominations to pay
each member what is owed.
4. After each member has received their share-out in cash, the cycle is completed.

ARTICLE 13: FINES/PENALTIES OF A MEMBER.

1. The members agree to pay fines for violating the rules of the group. The fines are a way
of apologizing to the group and promising to respect the rules in the future. For that
reason, they should be paid quickly and cheerfully.

ARTICLE 14: PURCHASE OF THE GROUP.

1. From time to time, the group may need to purchase supplies and other assets, such as a
cashbox or pens, rims of paper and books etc.
The chairman with the group’s advice shall decide whether to make a special
assessment of the members or take the money from the loan fund.

ARTICLE 15: AMENDMENT OF THE CONSTITUTION.

1. Any amendment of this constitution shall be done by a third of the general assembly
of the members of RWEKSA SAVING SACCO.
2. To show that the article has been amended, the executive committee shall pass and
sign it for effectiveness.
ARTICLE 16: ENDORSEMENT OF THE CONSTITUION.

The constitution shall be properly endorsed by the group members having done perusal to detect
some mistake/errors.

We the members whose names and signatures/ thumbprints appears below do here adopt, give
ourselves this constitution

Of…………………………..
……………………………………………………………………………………............................
.............................................................……………………………

This…………………........................... Day of …………………………………………………

 RWEKSA SAVINGS SACCO

S/N NAME TITLE NIN CONTACT SIGN

1 Chairperson
2 Vice Chairperson
3 Secretary
4 Treasurer
5 Legal advisor
6 Member
7 Member
8 Member
9 Member
10 Member
11 Member
12 Member
13 Member
14 Member
15 Member
16 Member
17 Member
18 Member
19 Member
20 Member
21 Member
22 Member
23 Member
24 Member
25 Member
26 Member
27 Member