Full Text Article. Available at: https://journalofbusiness.org/index.php/GJMBR/article/view/1833/1735Perceive risk is an important factor that influences the adoption intention. Perceived risk associated with the use o microfinance institutions lending model may adversely affect borrowers. Researchers had applied the concept of perceived risk with Technology Acceptance Model (TAM) to measure the use of information technology, but overlooked the use of TAM on microfinance institutions lending models. This study integrates TAM with the adoption of joint vs. individual liability. To address these challenges, a study was conducted from four ethnic groups namely, Gogo, Zaramo, Chagga and Kinga borrowed from PRIDE (T) and FINCA (T). Questionnaires were used to collect information. The Structural Equation Modeling was used to perform the analysis. The findings have shown that the high perceived risk associated with borrowing incurring joint liability, especially the risk of non-payers causes the joint liability borrowers to devalue perceived usefulness and the ease of use of the joint liability lending model. The results provides evidence on the appropriateness of measuring the adoption of microfinance institutions lending model using TAM. It is recommended that more emphasis should be put on the strategies that improve the microfinance institutions lending models so as to ease the perceived risks especially the risk associated with partners’ failure to repay the loans. These might encourage households to come forward and use credit, hence achieve the goal toward poverty reduction