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01 Mar, 2024
In the vibrant world of community savings, stokvels have always been more than just financial groups. They're the heartbeats of communities, where trust, support, and shared dreams thrive. As agents of change, stokvels have the power to transform lives, pooling resources to uplift not just individual members, but entire communities. Today, in the unfolding digital era, it's time for stokvels to embrace a new ally: StokFella. More than just a digital tool, StokFella is a movement dedicated to empowering communities and ensuring financial transparency. Let's explore how StokFella is revolutionizing stokvels and catalysing community transformation. Streamlined Operations for Empowered Communities Managing finances and administrative tasks can be daunting for stokvels. StokFella changes the game by offering a centralized platform for easy contribution tracking and financial management. With StokFella, the days of manual record-keeping are over. Our platform automates these processes, liberating your time for what truly matters - nurturing your community's growth and aspirations. Security for Your Peace of Mind Security is non-negotiable when it comes to your finances. StokFella ensures that your contributions and personal data are safeguarded with the highest security standards. Our platform's diverse payment methods, including credit cards, EFTs, and retail store payments, mean you can contribute without the risk of carrying cash. Amplifying Your Impact StokFella's digital capability isn't just about efficiency; it's about amplifying your stokvel's impact. Our platform enables you to set bold goals, make informed decisions, and track your journey towards achieving them. It's about transforming your aspirations into tangible outcomes. A Catalyst for Collective Growth At its core, StokFella stands as a beacon of collective growth and support. By enhancing transparency and streamlining operations, we help stokvels focus on their ultimate goal: empowering each other to reach financial freedom and realize dreams. Join the StokFella Movement Embracing StokFella is more than just stepping into the digital age; it's about being part of a larger vision – a vision where community transformation and financial empowerment go hand in hand. It's about joining a movement that redefines the essence of stokvels. Be a part of this transformative journey. Join StokFella today, and let's together unlock endless possibilities for financial empowerment and community growth. Together, we're not just building a platform; we're building a brighter, more inclusive future for stokvels everywhere. Ready to be part of this transformative journey? Join us now! Visit StokFella's website and start your journey towards financial empowerment and community transformation. Let's shape a future where financial security and community support know no bounds.
09 Feb, 2024
Unlocking the Power of Community: Why You Should Join a Stokvel Ever wondered how to amplify your financial potential while strengthening community bonds? Stokvels are not just savings groups; they are dynamic networks offering both financial and social benefits. Joining a stokvel means you're not just saving; you're investing in a community that grows together. It's about being part of something larger than yourself, where collective goals and shared successes define progress. Why Are You Missing Out? If you're not in a stokvel, you're missing out on more than just savings. You're losing the chance to be part of a powerful social network that transforms lives. Stokvels offer a unique blend of financial growth and community support. They are spaces where individuals not only build wealth but also forge lasting relationships. In a stokvel, every contribution counts, and every member is valued. A Life-Changing Decision: The Impact of Joining Imagine being part of a group where your financial contributions help not just you, but your entire community. Stokvels make this possible. They are about pooling resources for greater impact – whether for investment, tackling large-scale projects, or aiding in times of need. By joining a stokvel, you're stepping into a role that extends beyond individual gain to communal upliftment. Don't Just Watch – Participate!  Stokvels are calling you to be part of a transformative journey. It's a journey that promises not just financial gains but also the chance to be part of a supportive, thriving community. The question isn't just 'why join a stokvel?' but 'why would you choose not to?' Embrace the opportunity to grow, connect, and make a lasting impact. Don't let fear of missing out become a reality – join a stokvel today and be part of a network that changes lives.
24 Jan, 2024
Dear StokFella Family, As we step into this new year, it's a time to embrace the power of unity and the strength of our collective dreams. At StokFella, we're more than a platform; we're a community united by a shared vision of transforming our lives and the lives around us. This year, our focus is clear: to unite, to save, and to transform. Through the simple, yet profound act of saving together, we have the power to shape our communities - one graduate, one home, one business at a time. Our campaign, #PlayYourPart, is an invitation to you – our valued members and champions of change – to join this movement. It's a call to come together, to contribute what we can, and to be part of a greater force that has the power to uplift and empower. The journey of transformation begins with a single step. Whether it's rethinking the mission of your existing stokvel or starting a new one on our platform, every action counts. Every member brings something unique to the table, and every contribution adds to our collective strength. We are here to support you, to guide you, and to celebrate with you as we journey towards our shared goals. Your dreams, your aspirations, and your efforts are what drive us forward. So, let’s start where we are, with what we have, and build towards a future filled with hope and prosperity. Together, let’s make 2024 a year of impactful change, one community at a time. Join us, bring your part to the pool, and let’s make history together. Your role in this story is crucial, and we can't wait to see the incredible things we will achieve together. #PlayYourPart With unity and determination, Tshepo Moloi CEO, StokFella
24 Oct, 2023
How to tell the difference between good and bad debt Debt can feel like a weight on your back when you have more to repay than what you earn, however not all debt is bad. In fact, having no debt (no credit record) could actually count against you when it comes to applying for a personal loan, home loan or vehicle finance for example. This is why managing your debt and knowing the difference between good and bad debt is important. Proper debt-management could help improve your life, your credit score and ultimately even help you create wealth (if you work wisely with what you borrow and use it to make more money). This is where the concept of good debt vs bad debt comes into play. Good debt takes you forward financially So, what is good debt? Good debt is an investment in your financial future. It helps to create a firm foundation and could even help improve your future earning potential. Before taking out a loan and going into debt, ask yourself these questions first: Is this the most affordable loan/option available to me? What is the interest rate? (Lowest interest rates are not always the best option – sometimes a low interest rate comes with high charges at the end of the term, so do your research first.) What are the repayment terms? Can I really afford it? What are the charges, including hidden charges? Some examples of good debt are home loans, student loans and business loans. However, there are no guarantees and you should always be cautious when going into debt, especially in South Africa’s current economic climate. For example, paying off your student loan might be difficult if you’re unable to secure full-time employment. Bad debt adds stress to your financial situation and slows down your progress Bad debt is often associated with impulse purchases. If you are in the habit of buying day-to-day items such as foods and disposable products, or paying your daily bills using credit, it can very quickly lead you into a situation where you are overcome by bad debt. A few examples of bad debt are: Using your credit to purchase luxury items that you can’t really afford. Taking out one-month loans from unregulated institutions to finance an immediate need. Buying clothes and other items on clothing store accounts (which usually have very high interest rates). Grey area Too much debt, whether it’s “good” or “bad”, can quickly add up. If not managed properly, even good debt can become bad debt and may even lead to forced debt counselling. Below are a few grey areas: Credit cards can be used to finance large expenses and there’s no doubt that they can be useful, as long as you pay off the balance each month. However, credit cards also often come with a high interest rate and you could be in trouble if you allow it to build up. Vehicle finance can be good or bad debt. If you need a car to help you earn income and you can manage the monthly repayments, as well as associated costs like insurance and petrol, vehicle finance would be good debt. However, a new car loses value as soon as you drive away in it, so it is wise to rather consider buying a demo model or a used car. Whatever you decide, make sure it fits into your monthly budget. Borrowing money to get out of debt is not usually a good decision. However, consolidating your debt can sometimes be a simpler way to manage your money when your goal is to regain financial stability. One of the trusted ways for South Africans to borrow money traditionally has been from their stokvels. This could be for any number of reasons and now StokFella is bringing you the option to stokvels in a seamless, easy way that will save you money, provide transparency and ultimately create more wealth for your stokvel club in the long run. With just good saving behaviour, your stokvel can qualify for a loan of R1000 to R250 000 when it saves with a Nala Club Account on StokFella. Plus your stokvel earn income from your loan. Why borrow money from a bank when you can borrow it from your own “bank”? Get in touch with us today if you would like to know more. StokFella is a licensed FSP 48812 and Credit Provider NCRCP12735 T & Cs Apply
24 Oct, 2023
When you apply for any form of credit or a loan, credit providers use a report generated by the Credit bureaus to evaluate whether or not you will be a good candidate to lend money to depending on the credit score given to you by the credit bureaus. The terms of the credit (interest rate, amount etc.) are based on this risk profile. The usual risk factors when borrowing money such as: do you have a steady income, what is your monthly fixed expenditure and do you have any other financial security such as assets will still play a role in determining whether you qualify or not and for how much, when applying for credit even though you may have a good credit score. A credit report contains information on your credit history and financial dealings. It shows how you have handled debt in the past, how much you borrowed and from whom and if you repaid it on time and whether or not you stuck to the terms and conditions of the deal. Everyone in South Africa is, by law, entitled to a free credit report once a year. The credit bureaus are obliged to provide it when asked for one, but should you request a second report in the same year, you will then be asked to pay a fee. You can use one of the following sites to get your free annual credit report: https://www.mycreditcheck.co.za/ or https://www.transunion.co.za/assistance/free-credit-report or https://compuscan.co.za/my-free-credit-check-your-free-credit-report/ Credit providers use different scoring methods but usually the score range range is between 330 and 830. Above 750 is an excellent score and the applicant should easily obtain credit on the best terms. If you have no history of unpaid debt, a good salary and perhaps some savings or assets as security, you should not worry too much about a credit score. People with no credit history (no loans, no credit cards, cell phone or other accounts) will of course have no credit reports. When should you check your credit score? If you’re intending to apply for a substantial loan (for instance to buy a house or a car) it might be a good thing to check on your credit report/score. (Use one of the links mentioned above) Be aware that although unlikely, your report may contain errors. Checking your score before applying for credit gives you the opportunity for any such errors to be rectified before getting an unpleasant surprise when your application for a loan is rejected because of an incorrect credit report based on wrong information. At StokFella, we make credit available to stokvels from R1000 up to R250 000 with a Nala Club Account and your stokvel earns income from your loan. Why borrow money from a bank when you can borrow it from your own “bank”? Get in touch with us today to find out more.  StokFella is a licensed FSP 48812 and Credit Provider NCRCP12735 T & Cs Apply
24 Oct, 2023
Small and medium sized enterprises (SMEs) and entrepreneurs are often heavily reliant on traditional debt to fulfill their start-up, cash flow and investment needs. Debt and equity are however, traditional tools that have needed to be tweaked in order to better meet the needs of the end-users: the SMEs. Debt This is money loaned to an organisation that must be repaid. Just like a normal bank loan made to a business or individual, the investor aims to get their money back plus interest. Equity This is providing working capital (ie. funding) to an organisation in exchange for a portion of ownership of the organisation. This can be thought of as shares of the company. The appeal for the investor is that if the company makes a profit, then so too does anyone with a portion of equity. The investor can also sell their shares later for profit. Grants This is the traditional donations-style support, where money is simply given to the organisation. The investor doesn’t expect to get it back, they have no expectation of financial return (profit), only expectations of social return (impact). In the past, access to these traditional tools has been limited or restrictive to say the least for small to medium business owners but fortunately, the landscape is shifting and statistics on micro finance in sub Saharan Africa shows us that the rise of digital and mobile banking in particular, are making the greatest mark.  Adult population without access to financial services: 80% Adults who send or receive domestic remittances: 48% Credit taken from family and friends vs. a formal finance institution: 41% vs 6% Active depositors: 16.5 million Active borrowers: 6.5 million Adults with a mobile money account: 12% vs 2% 40% of Africans own a mobile phone, and Africa leads in the development of mobile banking services, with 64 million subscribers using mobile payment services Shifting the System With the onward push of technology and greater creativity being exercised by investors and SMEs seeking funding alike, we’ve seen shifts in the system coming into play. Some of these include: Blended Finance Blended Finance is a development finance model that combines concessionary loans or grants, usually provided by the public sector, with private investment. It aims to alleviate the development funding constraint by de-risking investments into the sector and directing more private capital towards projects or geographies that would otherwise be perceived as too risky for traditional investors. Peer to Peer Lending Peer-to-peer lending (P2P lending) is an alternative financial service that involves lending money directly to peers, or unrelated individuals, without the intermediary assistance of a bank or financial institution. As a form of social fundraising, peer-topeer lending allows fundraisers to cut out the middleman and appeal to their target audience directly. Most peer-to-peer loans are unsecured (not backed or guaranteed by assets), meaning more people can access them, and can provide borrowers with better terms than they typically would get elsewhere. P2P lending services normally operate in online marketplaces, which bring together lenders and borrowers. These marketplaces also provide additional services to facilitate lending,such as credit verifications, lending models and payment processing. Social Fundraising and Crowdfunding For as long as church bake sales and charity carwashes have been around, social fundraising has permeated societies across the world in many different forms. Communities and individuals often unite around a specific cause or event, and pursue creative means of fundraising to achieve a related set of objectives. Since then, numerous other platforms have emerged, as the social fundraising sector continues to grow. The world’s largest funding platforms are Kickstarter and Indiegogo, along with Seedrs and Crowdfunder, all founded between 2007-2011. In Africa, crowdfunding platforms include Kiva, an international platform, and Thundafund and StartMe, both based in South Africa. These crowdfunding business models often vary in terms of repayment: some models utilise “rewards” (products or services) as compensation, while others use interest-bearing or equity structures to compensate investors. Diaspora Funding Platforms The African diaspora is a largely untapped resource for development finance purposes. When referring to the African diaspora, it is important to remember that these are people living in a community outside their shared country of origin who still maintain strong ties to their homelands or ancestral communities. These complex and ever-changing communities typically manifest the strong desire to invest back home. Diaspora funding platforms were thus developed to provide a way for the diaspora to invest impactfully in their home countries. Diaspora funding platforms, typically set up as online portals, provide effective and efficient avenues to connect diaspora to investment opportunities, providing a structured, transparent and reliable way for the diaspora to invest in worthy ventures back home. Outcomes Based Funding An outcomes based contract is an agreement between a funder and service provider whereby payments are contingent on the achievement of pre-agreed, measurable outcomes. This stands in contrast to a traditional contracting where funding is based on inputs and activities regardless of whether outcomes are achieved or not. These funders are typically governments, country donors, multilateral institutions and philanthropic foundations. The benefits would include paying only for what works which means that all stakeholders work intentionally and collaboratively toward that end. Learning is accelerated with short feedback loops and wasteful expenditure minimized. Instead of being tied to a set of inputs service providers are able to adapt their programmes according to real time data leading to bottom up innovation. It also drives down costs as providers, being assessed on the same basis, can create efficiencies within their own delivery models to outperform the competition Group Savings and Investment (stokvels) A stokvel is a savings or investment society to which members regularly contribute an agreed amount and from which they receive a lump sum payment. There is a typical misconception in South Africa today that stokvels are a finance tool used mainly by those in a lower income bracket. The 2017 Old Mutual Savings and Investment Monitor, however, shows that there’s been an 11% increase in stokvel members among those earning R40 000 per month or more, from 46% in 2009 to 57% in 2017.This means that stokvels are progressing steadily from “…villages to cities, from money under mattresses to savings accounts” and now, increasingly from mere savings to instruments of investment. So where to from here, Entrepreneur? Although ground breaking work has been done in the innovative financing space for decades, it does seem as though we are at the beginning of a journey. If you’re uncertain of where to go from here, here are a few suggestions: Speak to your peers Get professional advice and training if need be Consult with stakeholders Become part of a network of similar entities innovating in this space Identify outcome areas that would be good pilots for innovative financing Try – fail – try again *Extracts taken from the Innovative Finance in Africa Review produced by the UCT GSB Bertha Centre for Social Innovation & Entrepreneurship with the support of the Flanders Government
By Website Editor 24 Oct, 2023
You have a stokvel group and the group accountability has been a useful tool for saving money and you’ve enjoyed the social elements of engaging with like-minded individuals while you work towards your financial goals. But have you considered how your stokvel could become an investment engine for you and your family through moving away from ‘savings only’ and moving more towards an investment focused tool that actually grows your money? There is a typical misconception in South Africa today that stokvels are a finance tool used mainly by those in a lower income bracket.
By Website Editor 24 Oct, 2023
There are so many good reasons to communicate with site visitors. Tell them about sales and new products or update them with tips and information.
By Website Editor 24 Oct, 2023
Stop using credit cards The more you swipe that credit card, the more the balance climbs. If you’d really like to get out of debt, stop borrowing from Peter to pay Paul. If you’re having a difficult time letting go, try freezing your cards in a cup of ice and hopefully by the time you can access them again, you will have changed your mind. Pay the most that you can afford monthly Rather than paying the minimum monthly instalment on your debt, look for ways to pay as much as possible. The more you pay, the faster you’ll get out of debt. Allocate any spare income towards debt repayment for this purpose. Spend less wherever you can Learn to tell the difference between wants and needs. Using a budget can help a great deal in this regard. Skip daily trips to your local coffee shop, walk rather than taking an uber or a taxi, skip buying lunch at work and rather take lunch box. Over time, these small savings add up and can be used to dig you out of the debt hole much faster than you would expect. Double up on payments where possible Once you’ve paid off one credit card doesn’t mean it’s party time. Congratulations on accomplishing that goal, but keep in mind that it’s important not to lose your momentum. This is not the time to spend more on lifestyle and luxuries. Rather allocate those funds that are now freed up to diminishing the next balance in line. Use windfalls to reduce balances owing This should go without saying, but if you get a sudden windfall — such as a tax refund or a bonus at work, don’t spend it on a splurge. Instead, bite the bullet and use a portion of the funds to pay off more of your debt. Tackle debts with the highest interest rates first Save money on interest by eliminating your debts with the highest interest rates first. Although some prefer the debt snowball method, (which suggests that you pay the debts with the lowest balances first to build momentum), it makes more financial sense to clear those debts with the higher interest rates first. The ultimate goal is to pay off debt, however, so the choice is yours. Find ways to supplement your income If you have the time and any particular marketable skills, try a side-gig to make some additional income. You may be able to bake cakes or cookies after hours, do photography at weekends or design work online. Perhaps you have a knack for book-keeping and can assist family and friends with small businesses? In some instances, you may be able to generate quite a significant amount of extra cash, all of which should be contributed to your debt-payoff fund. StokFella is a licensed FSP 48812 and Credit Provider NCRCP12735 T & Cs Apply
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