Papi Rapolai, general manager: wholesale and stokvel at Pick n Pay, says there was a gap for a savings solution that would address stokvel members’ need to save for groceries safely and securely, but one that also provided a competitive interest rate on savings.
Rapolai says that based on Pick n Pay’s experience in working with stokvels, many groups miss out on earning interest from their annual savings, or earn a very low rate. “Stokvels tend to keep their savings at home – which holds the risk of theft – or their savings are deposited into accounts where the interest rate isn’t tailored specifically for them. For example, banks tend to pay higher interest rates for balances greater than R100,000, but many stokvels save between R20,000 and R50,000 annually, which generates a lower rate of interest.”
With the new Grocery Stokvel Account, stokvels are able to earn a competitive interest rate on balances of as little as R50, and spend their stokvels’ money safely and conveniently at Pick n Pay.
“The account also doesn’t charge monthly management fees or for the first Absa ATM or in-branch cash deposit each month, so money saved goes to building the stokvels’ value,” says Rapolai.
Stokvel groups will also receive discounts on their purchases. “Last year we launched the Smart Shopper Wholesale Stokvel card. This provides the same Smart Shopper benefits as well as grocery and product promotions.”
Rapolai explains: “The Grocery Stokvel Account is an easy-to-use solution for stokvels: when the time comes to withdraw savings, the customer visits an Absa branch and places a notice of withdrawal with the bank. The money is then paid directly into a Pick n Pay account and the funds are available to spend at a Pick n Pay store within 24 hours. Our collaboration with Absa means stokvel members don’t ever have to take the risk of carrying large amounts of cash again.”
Other benefits include free delivery for purchases over R30,000 within a 15km radius. A Pick n Pay Stokvel Champion is also available to stokvel groups to assist with telephone orders and other related queries, and in-store assistance with separating and packing groceries.
