Stokvels vs Pyramid Schemes: What's the Difference?

In this episode of the Foster Digital Education Show, we looked at the characteristics of a REAL stokvel, and how they differ from those of the more harmful pyramid schemes.
The "N$200 WhatsApp Stokvel" had gained popularity in Namibia during the last few weeks as households began to feel the economic impact of COVID-19. That was until the Bank of Namibia declared it to be a pyramid scheme. This episode explains what all of that means.
Additional useful resources on pyramid schemes in Namibia:
1. Financial Intelligence Center- PYRAMID SCHEMES:
www.fic.na/uploads/Public_Awa...
2. Bank of Namibia- Characteristics of pyramid schemes:
BankofNamibi...
If you have any questions, leave them in the comment section or send them to us via email here: [e-mail]

[@phillemonshipanga3369]

I can use this to explain to my friends... They never got it when I mentioned pyramid schemes!

[@ivybetts5178]

Your videos are amazing! Fun, yet educational whilst also being relevant and memorable. I look forward to more of your content!

[@margaretmolefi2339]

Very interesting

[@benshivute2361]

Insightful. 👏. We need more of these awakening contents.

[@melvintheredeemed3651]

We have been doing this even before whatsapp, the bank is against the what they dont understand. 8 years ago i bought a car through stockvel money. You just have to be in a trust worthy team.

[@ndeshyjason]

Really love and enjoy the work you guys do. Thank you

[@kasieshatilwapo9270]

Great video, we needed this! We also need a video on credit as part of the talk on personal finance

[@nicolecrichton5164]

Thank you for this video :) very well explained in a simple manner

[@IsakAmunkete]

The original Stokvel is/was not a pyramid scheme, but the current WhatsApp Stokvel is a pyramid scheme, because it operates on the basis of recruitment, if you don't recruit you don't get to the top, you have to be at the top to get paid, and anyone can leave the Stokvel when he/she feels that they've gotten enough profit.

[@margaretmolefi2339]

I'm leaving in South Africa I'm very much interested but I don't know how to start I would like to be assist

[@Luckyfxagent2]

My question is that what if i have a way to make the pyramid work ,how do i go about it to legalize a pyramid scheme.?

[@atriciafranklyn3427]

It's impossible to get it to work