Banks, community savings, support for entrepreneurs and goals
The history of banks, stokvels and other savings schemes, support for entrepreneurs, and setting goals. Read one part at a time and tap “I know this”. Then test yourself in the quiz.
Know it already? Jump straight to the quiz
The history of banks
People left their gold with goldsmiths, because they had strong safes. The goldsmith’s receipt was traded instead of heavy gold: an early form of paper money. Goldsmiths noticed that not everyone fetched their gold at once, and lent some out at interest. Today we use ATMs and cellphone banking.
Community savings schemes
| Scheme | What it does |
|---|---|
| Rotating stokvel | Members pay in monthly and take turns to get the pot |
| Savings club (umgalelo) | Helps members save regularly as a group |
| Grocery stokvel | Buys food together in bulk |
| Investment stokvel | Saves for things that grow in value |
- Stokvels write a constitution (rules): what to pay and the penalties.
- Risk: a member stops paying after receiving the pot. Keep the money in a bank account.
- People trust stokvels because they know the other members; they help people without bank accounts save.
Support and goals
- A bank wants a business plan and asks for collateral: something valuable the bank takes if you do not pay.
- A microlender gives small, short-term loans; a registered lender must follow the law on fair interest.
- Sizwe (22) wants to start a car wash with no savings: go first to the NYDA.
- Save R600 in six months: R600 ÷ 6 = R100 a month. Write goals down and review the plan if you fall behind.
Remember this and test yourself
- Banks: temples → goldsmiths → banks with branches → online; “bank” comes from the Italian banco (a bench).
- The first bank at the Cape was the Lombard Bank (VOC, 1793).
- A rotating stokvel: 12 members each pay R300 a month, so each month one member gets the pot of 12 × R300 = R3 600.
- Support: NYDA (young entrepreneurs), SEDFA, formerly SEFA and SEDA (loans and support for small businesses), IDC (big industrial projects).
- A grant does not have to be paid back; a loan does.
Write these points in your book. Read them again the night before the test.
A grant is a gift; a loan is a promise. The one you never give back, the other you must repay.
Important words
First say what the word means, then turn the card over.
Match column A to column B
Tap a word in column A, then its meaning in column B. You can also start in column B.
True or false?
Read the question and the answer. Is the answer right? Tap True or False.
Now the real quiz!
The quiz has many more questions on this topic. Every question shows straight away whether you are right and explains why.
Take the quiz: Banks, community savings, support for entrepreneurs and goals- Read one part together and ask your child to tell it back in their own words.
- The ticks (“I know this”) are saved on this device only. We never ask for names or emails.
Follows CAPS for Grade 7 Economic and Management Sciences (EMS). Always check your teacher’s notes and textbook too.