TERMS AND CONDITIONS OF NEW COVENANT (IJU-ISHAGA) COOPERATIVE MULTIPURPOSE SOCIETY LIMITED

Registered Address: RCCG Jabbok Center, Olubusola close, opposite Pargo Filling Station, Agbado Road, Ogun State.

Effective Date: 30th August 2024

ARTICLE 1: PREAMBLE

These Terms and Conditions shall govern the relationship between the NEW COVENANT (IJU-ISHAGA) COOPERATIVE MULTIPURPOSE SOCIETY LIMITED (hereinafter referred to as “the Society”) and its registered members. By applying for and being accepted into membership, each member agrees to be bound by these Terms and Conditions, the Bye-Laws of the Society, and the decisions made by the General Meeting and the Management Committee.

ARTICLE 2: DEFINITIONS

“Society”: Refers to NEW COVENANT (IJU-ISHAGA) COOPERATIVE MULTIPURPOSE SOCIETY LIMITED.

“Member”: A person duly admitted and registered into the membership of the Society in accordance with its Bye-Laws.

“Management Committee”: The elected body responsible for the day-to-day administration of the Society.

“Savings”: The compulsory monthly contribution made by a member, which is withdrawable upon cessation of membership, subject to outstanding liabilities.

“Bye-Laws”: The official governing rules of the Society as approved by the Lagos State Director of Cooperatives.

“General Meeting”: The supreme authority of the Society, comprising all its members. It can be an Annual General Meeting (AGM) or a Special General Meeting (SGM).

ARTICLE 3: MEMBERSHIP

3.1 Eligibility

Membership of the Society is open to any person who is:

a) At least eighteen (18) years of age.

b) Of good character and sound mind.

c) Not bankrupt or legally disqualified from entering into a contract.

d) Willing to accept the duties and responsibilities of membership.

3.2 Admission Process

An applicant for membership shall:

a) Complete and submit the official Membership Application Form online.

b) Pay a non-refundable registration fee of ₦5,000.

c) Pay the minimum deposit of ₦5,000 to open an account.

d) Be approved for membership by a resolution of the Management Committee. The Committee reserves the right to refuse any application without assigning a reason.

3.3 Rights of a Member

Every member in good standing shall have the right to:

a) Attend and participate in the General Meetings of the Society.

b) Vote on all matters (one member, one vote).

c) Be elected to the Management Committee or other sub-committees, subject to eligibility criteria in the Bye-Laws.

d) Apply for loans and other credit facilities offered by the Society.

e) Receive dividends or patronage refunds as declared at the AGM.

3.4 Obligations of a Member

Every member has a duty to:

a) Adhere strictly to these Terms and Conditions, the Bye-Laws, and resolutions of the Society.

b) Make regular and prompt payment of savings and loan repayments.

c) Attend General Meetings regularly and punctually.

d) Promote the interests and objectives of the Society and refrain from any act that may tarnish its reputation.

e) Update the Society promptly of any change in personal information (e.g., address, phone number, next-of-kin).

ARTICLE 4: FINANCIAL CONTRIBUTIONS

4.1 Compulsory Savings

a) Each member shall contribute a minimum of ₦5,000 per month as savings.

b) Savings may be increased at any time by the member.

c) These savings shall form the primary basis for granting loans to members.

ARTICLE 5: LOANS

5.1 Eligibility for Loans

a) A member must have been a consistent financial member for a minimum period of six (6) months to be eligible for a loan.

b) The total outstanding loan granted to any member shall not exceed two times (2) of their total savings, as determined by the Management Committee.

c) The member must not have defaulted on any previous financial obligation to the Society.

5.2 Application and Approval

a) Loan applications shall be made online through the Society’s portal and submitted to the Management Committee for consideration.

b) All loan applications are subject to the availability of funds and approval by the Management Committee, which reserves the right to approve or reject any application.

5.3 Guarantors

a) All loans shall require a minimum of two (2) guarantors who must be active and financially up-to-date members of the Society.

b) A guarantor shall be held jointly and severally liable with the borrower for the repayment of the loan in the event of a default.

5.4 Interest Rate and Repayment

a) The interest rate on loans shall be determined by the Management Committee and ratified at a General Meeting.

b) Loan repayments shall be made monthly over an agreed tenor.

c) Default in monthly repayment shall attract a penalty fee as determined by the Management Committee.

5.5 Default

In the case of a loan default, the Society reserves the right to:

a) Notify the member and their guarantors.

b) Set-off the outstanding loan amount and accrued interest against the borrower’s savings.

c) Take legal action to recover the outstanding debt at the borrower’s expense.

ARTICLE 6: CESSATION OF MEMBERSHIP

6.1 Voluntary Withdrawal

a) A member who wishes to withdraw from the Society must give a minimum of sixty (60) days’ written notice to the Management Committee.

b) The withdrawing member is not entitled to a refund of their savings until any outstanding loans (as borrower or guarantor) are fully settled.

c) Upon settlement of all liabilities, the member’s savings (less any administrative charges) shall be refunded within a period approved by the Management Committee, typically within 90 days after the notice period.

6.2 Expulsion

The Management Committee may recommend the expulsion of a member to the General Meeting if the member:

a) Persistently fails to meet their financial obligations.

b) Is convicted of a criminal offence involving fraud or dishonesty.

c) Acts in a manner that is detrimental to the interests and reputation of the Society.

d) The affected member shall be given an opportunity to be heard before a final decision is made.

ARTICLE 7: GOVERNANCE AND DISPUTE RESOLUTION

7.1 Governance

The Society shall be governed by its elected Management Committee in accordance with the Bye-Laws. The supreme authority of the Society rests with the General Meeting of members.

7.2 Dispute Resolution

a) Any dispute arising between a member and the Society shall first be referred to the Management Committee for an amicable resolution.

b) If the dispute cannot be resolved by the Committee, it shall be referred to the Lagos State Director of Cooperatives for mediation in accordance with the provisions of the Lagos State Cooperative Societies Law.

c) Litigation shall be considered a last resort.

ARTICLE 8: MISCELLANEOUS

8.1 Amendments

These Terms and Conditions may be amended by a resolution of a two-thirds (2/3) majority of members present and voting at a General Meeting for which proper notice of the proposed amendment was given.

8.2 Governing Law

These Terms and Conditions shall be governed and construed in accordance with the Bye-Laws of the Society, the Lagos State Cooperative Societies Law, and other relevant laws of the Federal Republic of Nigeria.

8.3 Confidentiality

The Society shall take all reasonable steps to protect the personal and financial information of its members.

ARTICLE 9: DECLARATION AND ACCEPTANCE

Having applied for membership in the NEW COVENANT (IJU-ISHAGA) COOPERATIVE MULTIPURPOSE SOCIETY LIMITED, I hereby declare that I have read, understood, and agree to be bound by all the Terms and Conditions and the Bye-Laws of the Society. I pledge to fulfill all my obligations as a member and to work towards the progress of the Society.