Saving and Loans


Member savings (minimum 5% of net remuneration or more) are deducted on a monthly basis and deposited on the HSS-MAG account.

Any member can increase or decrease the amount of their monthly contributions by submitting a request before the 15th of the month (as long as it doesn’t go below 5%)  This form is also available on the HSS-MAG web site.


All withdrawals are made by writing a request letter to the Chairman of the Board of Directors not later than the 15th day of each month. A member is entitled to withdraw all or part of savings:


  • Partial Withdrawal

A member can withdraw an amount not greater than a third (1/3) of net savings once a year. HSS – MAG deducts 5% administrative fee in case of urgent withdrawal request (funds needed in less than 1 month).


  • Withdrawal of entire savings

The withdrawal of entire savings is allowed for a member upon retirement/resignation or dismissal from employment. In case of death of a member, the Next of kin is entitled to claim the entire savings.

In case of emergency withdrawal (funds needed in less than 1 month), an administrative fee of 5% is deducted to the benefit of CEB.


During the initial years of the HSS-MAG, a limited range of loans will be offered to members while the fund accumulates capital.  Other loan types will be introduced in future years as agreed by the General Assembly.

The current loan types include:




  • Ordinary loan

An ordinary loan is granted at the end of each month not later than the 15th day. The maximum amount is determined by the following formula: Ordinary Loan = Savings X 2. This loan is payable in 3 years, at an annual interest rate of 3%.




  • Urgent loans

An urgent loan is a loan granted to a member under special circumstances like school fees, illness, fire, accident, etc. The maximum amount for that loan is Frw 200,000, payable in 3 months at a fee of 5%.


To be eligible for a loan you must:

  • Be a subscribed member of the HS-MAG
  • Have accumulated a minimum of 6 months savings
  • Must have cleared any previous loan before acquiring a new loan of the same type


In order to apply for a loan a member must:

  • Fill loan application form (available on-line from the web site)
  • Submit the application
  • If the loan request is approved, both parties sign the loan contract indicating;
  • Amount borrowed and approved
  • Loan repayment/ payback period
  • Interests to be charged
  • Identity and signature of the borrower
  • Names and signatures of 3 guarantors.


The employer deducts the monthly loan repayment from the member’s net remuneration and deposits it in the HSS-MAG account. No member can oppose the deduction of that installment payment. In case of resignation of the staff member before they finish paying their loan, HS-MAG takes hold of their savings first before taking on the member’s sureties. Loan repayment by bank transfer is also accepted.