Lending to members ยท Lesson 10 of 15

Pay out and collect

The cashier pays out Amina's approved loan by Mobile Money from the Head Office till, and the loan becomes Active. Her first instalment, paid by M-Pesa, is then recorded, the balances and schedule update, and the lesson shows how a mistake is reversed, never edited.

About 15 minutes

Key ideas

1

Pay out from the approved loan

As the cashier, open Loans in the sidebar, then the approved loan, and choose Disburse. Pick the till the money leaves from, the method, where the money goes and the payment's reference. In our example: the Head Office till, Mobile Money to Amina's number, and the reference of that payment. Choose Record payout, and the loan becomes Active.

2

Record each repayment on the loan

When a member pays, choose Record repayment on her loan. Pick the account the money came into, the payment method and the reference. In our example Amina pays her first instalment by M-Pesa, so you choose Mobile Money and type the M-Pesa reference. The reference ties the receipt to the real payment, so anyone can trace it later.

3

Deduction in a workplace SACCOS

In a workplace SACCOS, the employer deducts instalments from members' salaries. You record those repayments the same way from the loan, but choose Deduction as the method instead of Mobile Money.

4

Check the result, reverse mistakes

Outstanding, Collected and Next due update at once, and the schedule shows the instalment paid. Repayments lists every receipt. A mistake is never edited: a manager reverses it with a reason, then you record it again, so the history shows what happened and why.

Practice

Try it in your training organization

  1. 1. Open Loans in the sidebar and open an approved training loan.
  2. 2. Choose Disburse. Pick the Head Office till, choose Mobile Money, enter the member's number and a sample transaction reference, then choose Record payout. Check that the loan shows Active.
  3. 3. Choose Record repayment. Pick the account the money came into, enter the first instalment from the schedule, choose Mobile Money, type a sample M-Pesa reference and choose Record payment.
  4. 4. Read Outstanding, Collected and Next due, then open the schedule and find the instalment marked paid.
  5. 5. Open Record repayment again and find Deduction among the payment methods, the one a workplace SACCOS uses for salary deductions. Close the form without saving.
  6. 6. Open Repayments and find your receipt in the list.

Check yourself

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