The “Yethu” Stokvel App, created by young entrepreneurs from Cape Town has introduced an innovative way to bridge digital transformation and the stokvel industry.
Available on the Google Play Store, the Yethu Stokvel App hopes to address fraud, corruption and other challenges faced by 11 million South Africans in the stokvel market.
The app aims to tackle inequities in the country and to encourage saving.
What are some of the benefits of joining a stokvel?
One of the positives of being part of a stokvel is that they can be set up informally and they are not legal entities.
Individuals who are part of a stokvel can perform its activities outside of interference from the government.
They also promote social functions. Members who have joined often enjoy spending time together and socialising.
The costs of running a stokvel are quite low.
They may include savings, insurance or investment benefits. So the type of stokvel isn’t only limited to grocery savings or birthday celebrations, but could provide assistance even when you may be in need of a loan.
Joining a stokvel encourages saving behaviour. You may be able to develop better saving habits as a result of joining a stokvel.
How does the Yethu Stokvel App work?
The app provides stokvel leaders with a management tool that allows them to be more accurate, reach a higher tier of interest and to increase their trust.
With approximately 400 members already, the app is free to use on any smart or feature phone user in South Africa who wants to open or join a stokvel.
The Yethu Stokvel App gives stokvel members the security, transparency and accountability that have previously not existed.
The App ensures that you know where your funds are at all times. Users can also invite and easily track members’ contributions. It can also be used to set the purpose of your stokvel and meeting dates.
The stokvel management tool allows you to manage all your stokvels from one screen. You can dial *134*7720# to check your stokvel performance.
The app took 18 months to become fully operational and is supported by Launch Lab.