UEW Co-operative Credit Union reduces interest on loans to promote regular savings

The UEW Co-operative Credit Union is intensifying efforts to improve members' financial security through regular savings, affordable loans and digital banking services.

The institution commissioned its new building at Tanoso in the Kwadaso Municipality, which has operated for over 30 years, and is committed to helping members develop a strong savings culture while providing accessible financial support to meet their needs.

Speaking in an interview, Chief Executive Officer of the UEW Co-operative Credit Union, Mrs Christina Nelson, said members are encouraged to save regularly, regardless of the amount they earn.

"We encourage our members to save, no matter how much the money is. Members can save as little as fifty Ghana cedis at the end of the month. That is the principle of a co-operative credit union, to help members make regular savings."

Mrs Kelson explained that the Credit Union offers several savings products, including regular savings, child savings accounts, fixed deposits and fixed savings accounts, which provide members with different opportunities to secure their financial future.

She added that the institution also provides various loan products, including regular loans, microloans for petty traders, agricultural loans for farmers and guarantor loans.

On efforts to make borrowing more affordable, Mrs Kelson disclosed that the Credit Union has reduced its loan interest rate from 18 per cent to 16 per cent last year, and further down to 13.5 per cent this year.

"Last year, our interest rate was 18 per cent. We reduced it to 16 per cent, and this year we have further reduced it to 13.5 per cent. These are some of the initiatives we have put in place to support our members."

Touching on technological advancement, she said the Credit Union has introduced a USSD platform and a web portal to improve accessibility and convenience for members.

According to her, the platforms allow members to make savings deposits, check account balances, generate statements, and apply for loans without necessarily visiting the institution's offices.

"Because of the USSD and the web portal, members can transact business with us wherever they are, whether it is making savings deposits, checking balances, generating statements or even applying for loans."

Mrs Nelson further revealed that the Credit Union has qualified for licensing by the Bank of Ghana under the ongoing reforms of the microfinance sector, with licensing expected in December 2026.

She expressed optimism about the institution's performance this year, attributing its growth to members' confidence and continuous education on financial management.

"We are very grateful to our members. If they had not been there, we wouldn't have reached where we are. We value our members dearly because of that."