Our Regulatory Framework

By definition, Stokvels are Rotational Savings and Credit Associations (ROSCA). These are voluntary associations of individuals who come together to pool funds into a common place for the equal benefit of members. There are many types of Stokvels that would fall under NASASA’s regulatory framework, and these include the following:

  • Rotational Stokvels
  • Savings Stokvels
  • Grocery Stokvels
  • Investment Stokvels
  • Burial Societies
  • Social Clubs

Stokvel groups operate under a group constitution, which explicitly outlines the group’s purpose, functions and rules. In defining the structure of a Stokvel recognised by NASASA, there are several basic functions that, when not followed, places an institution outside of the realm of Stokvels. In order to fall within the realm of Stokvels, an institution must:


  1. Consists of individuals who know each other
  2. Collect a set amount of money from each member at set intervals
  3. Pool funds and store these funds in single, common place, agreed to by all members. This may be a bank account, an investment vehicle, a retail outlet, or in the care of a group member mandated to do so. It is important to note that ALL Stokvel groups are to place funds in an agreed common place, and that no legitimate Stokvel groups store funds in a network of individual’s accounts.
  4. Operate under a group constitution
  5. Provide an equal or mutually agreed benefit to all members