AFRICANUS Vol 30 No 2 ISSN 0304-615X - University of South Africa

is no exception. Since the researcher was residing in Levhuvhu during the time
of the investigation, the data could be collected systematically over an eightmonth
period. Semiformal interviews were conducted during this time with 50
men and women in the Levhuvhu district. These respondents were very open
and willing to talk about their membership of rural financial schemes. Notes
were taken during the field work and afterwards the respondents' feedback was
consolidated on a summarised answer sheet.
Independent moneylenders, who charge extremely high interest rates, may be
found in the adjacent villages. Pensioners are paid monthly, mostly at banks in
the formal sector, of which the closest are about 40 kilometres away in
neighbouring towns. On pension payout days, people frequently queue halfway
around the street block. IFEs in the form of informal savings and credit are very
well known in Levhuvhu and, on investigation, proved to be popular activities.
This is evident from the lively discussions during stokvel meetings which take
place regularly, and the respondents' knowledge about the structure and
functioning of savings and credit schemes. Stokvel meetings are entertaining
social gatherings, where talk is not only about money, but also about personal
and communal experiences. Stokvel meetings are mostly held on a monthly
basis. During these meetings food and drinks are provided. The women, who
clearly play a dominant role in terms of ROSCAs membership, displayed an
enthusiastic and proud attitude towards their particular savings and/or credit
scheme.
A number of dramatic cases of financial ``rescues'' were reported by the respondents.
In one instance a woman, belonging to a stokvel and selling tomatoes
for a living, reported that the money she saved up during the year
contributed to the sustainability of her small business during the post Christmas/
New Year period. Her place on the pavement could stay occupied and therefore
she did not risk losing her trading space. Members of a stokvel are required to
specify their household members, since the stokvel, like many other ROSCAs,
assist their members in times of financial need such as weddings and funerals.
This is covered by a monthly premium of 20 to 50 rand. Savings and credit
stokvels mostly pay individual members on a rotating basis. A number of relatively
small stokvels exist in Levhuvhu: some of them have only 3±8 members.
Since we started the fieldwork, it became clear that becoming a stokvel member
depended purely on the personal characteristics of the potential members, such
as their creditworthiness and their relationship to an existing group member.
44