The study aimed at the impact of saving and credit cooperative societies credit policies on the economic development of communities of Kajjansi community and it was guided by the following objectives; To analyze the effects of loan interest rates offered by SACCOs in Kajjansi Community on members economic development, to analyze the effect of Credit period offered by SACCOS in Kajjansi Community on the economic development of its members and to find out whether SACCOS in Kajjansi Community offer loan size that meets their members demands. The study was based on a cross sectional correlation and survey designs and employed both quantitative and qualitative approaches. The study considered a quantitative approach because it comprised of variables measured with numbers and analyzed with statistical procedures in order to determine whether SACCOs’ Credit Policy effect on members’ economic development. The qualitative approach gave precise and testable expression to qualitative ideas. From the findings, ANOVA results shown that aspects of credit policies can be used to explain variations in MED. The sig value (0.000) was less than the level significance (0.05) and therefore the null hypothesis was rejected. The F-statistics (F=124.025) was far greater than the P-value (0.000) hence a further confirmation that aspects of credit policies were significantly influential requisites in the determination of MED at SACCOs. Further, results indicated that the residual value (80.896) was greater than the regression value (43.329) which meant that though some aspects in credit policies do influence MED, there were other factors that highly influenced MED when a qualitative question was raised regarding ways to improve credit policies, the following suggestions were advanced: From the findings, SACCOs should involve all stakeholders in the review of the Credit policies the same policies should be properly communicated to all those concerned.