South African Stokvel – Creating a trusted environment in order to save money
Posted February 17, 2010on:
"Measuring Stick" it had in the Eastern Cape Province in the early 19th Century.
What a simple solution as savings today in a fascinating range of stokvels for any need in life, starting with happy occasions, like Christmas stokvel (saving for a large shopping) tour in December food to a hybrid of the stokvel, financial social support and is suitable for families.
A group is Stokvel savings scheme one, where members contribute a fixed amountMoney to a common pool each month. The money is held either in rotation or if a special need or opportunity arises.
A stokvel is a group of friends who say to pay an amount per month, R 500.00. In a stokvel of 12 friends, each person receives a chance to take one years at the home of the month collected money. So once a year every person in the group receives a lump sum, in this case, R6 000.00.
Making social cents? – The complexity of the cultural, social and financial interfacethis thriving industry.
Stokvel is not necessarily bad or only limited rural South Africans. In fact, executives are in urban areas to highly developed stokvels that generate significant revenues.
The total amount invested in stokvels annually in this sector is to R1.3-billion.
"In this" ubuntu society "People look after each other to share needs and resources. Trust is the other side of the Ubuntu Mint, probably best translated asa common humanity. "
Stokvel is a savings plan by a group of people who will save a regular amount each month to activate a stokvel for you to amass the wealth while avoiding the debt trap. Banks charge high fees and interest, but stokvels have none of these drawbacks.
Urban legend has it that stokvels are so addictive that some members save enormous amounts in proportion to their income.
Stokvels is a "traditional" forms of investment.
Born from the need to create atrustworthy environment for saving, the stokvel on the role of simply "making life easier go."
Stokvels are flourishing on the economic strengthening, so that enterprises, but the creation of jobs and the development of closer relations.
"Although Stokvels as something traditional and some would say that the social structures considered obsolete.
This study examines in Stokvels financially significant South African phenomenon. Why should we be interested inStokvels? Its estimated total investment in achieving the Stokvels and burial societies in South Africa, the R1.3-billion mark.
Not Stokvels are not just the domain of a few – very few industries "are affected" by stokvels – directly or indirectly. Stokvels is all about networking and affinity groups – the group not to an individual. They offer a powerful and cost-effective distribution network, the great influence and weight issues arise.
Many of the great leaders instokvels will be highly regarded and respected leaders in their community. The brands or companies they support are therefore more likely to be accepted by their community.
Reasons for belonging to a Stokvel:
There are many and varied reasons for belonging to a Stokvel, by a very powerful form of social security, meet the social needs that have become a form of self-discipline and commitment to use the people as one-off payment for a specific purpose or can grow theirMoney.
Many stokvels members stress the importance of the social prestige of belonging to a stokvel (Members are invited to join one – they can not just go and upwards) and the fact that its membership reflect shared values and a good understanding.
Understanding of the communities, these informal systems work:
The communities in which Stokvels working dynamic – it is a strong sense of Ubuntu. Poverty and apartheid, have weakened the social fabric of manypoorer communities, and there is a strong feeling the need to pull together and produce solutions.
Savings instruments for the poor are tied in regulation time and event and save it affects their ability to invest in the future. It is a common misconception that the poor do not save, but they need to accumulate to large lump sums for a variety of reasons, including:
Fixed fees (celebrations such as weddings, funerals, and maturity) Specific items (usuallyFurniture or appliance) Monthly cash flow is not enough to purchase these items without any savings. What is important to note, however, that the poor do not save, but in a different way. It seems that their store at a given time object or event driven connected with specific intent.
Therefore, they remain vulnerable to unplanned events and meetings. It is important to the extent to which the poor have very complex financial products carry life – ContinuedSurvivalist commercial and entrepreneurial economy are not easy. For many households are juggling their scholarships and the requirements in many family members on a small budget is a challenging and complex process.
Stokvels and other informal financial instruments are easily accessible, understandable and appropriate. Stokvels based on
(a) the principle of reciprocity and
(b) mutual trust for the sustainability, if you receive any assistance from a member, you have the support of all butreverse is also true:
Enjoy the proximity to their customers to have personal relationships with their customers, it is a detailed and intimate information about their customers to maintain good speed in transacting business. Are less expensive in credit and insurance – in the mobilization and deployment of resources.
An important part of this success is up to date leaving a cycle of vulnerability and poverty, people living literally from hand to mouth.
StokvelSavings in security and provides the opportunity to dream.