The loan fund and social fund are kept in a lock-box which is safe-guarded by an elected box-keeper. Laws governing VSLA operations are strictly enforced by members.
The following are identified as key challenges in VSLAs operations:
Despite these challenges, VSLAs are resistant to save with formal financial institutions due to the following reasons:
Formal financial institutions are also resistant to deal with the VSLAs due to the following:
SatF in collaboration with Interpay, will expand the range of financial services available for the underserved rural and peri-urban populations in Ghana through migration and digitization onto a platform called Maximus.
Maximus is a new universal mobile money-based group funding and savings platform built by Interpay which interacts with all mobile money platforms operating in the country. Interpay will provide partner FSPs with the technology and support needed to migrate existing and new VSLAs onto Maximus.
The digitization will increase profitability and give engaging VSLAs in rural and peri-urban communities access to loans. It will eliminate risks of theft and ensure VSLA members pay back loans which will ensure longevity of savings groups. Savings at the Frontier helps VSLAs gain access to financial products and services that best meet their everyday needs.