EasyPay Everywhere Empowering South African families with financial solutions

As families and mothers celebrate International Day of Families and Mother’s Day this May, EasyPay Everywhere is emphasizing the crucial role of effective financial solutions in the current economic landscape. These solutions are designed to help mothers and families better manage their finances.

Statistics South Africa reports that nearly 43% of South African households are headed by women, often relying on a single income that is typically lower than that of men. These households are particularly vulnerable, with 68% depending on social grants.

“The harsh reality is that a significant portion of South Africans rely on social grants for survival. For them, having the right tools to manage their money wisely and cost-effectively is of utmost importance,” says Simphiwe Phakathi, Executive Head of Sales and Distribution at EasyPay Everywhere. “Our mission with EasyPay Everywhere is to provide South Africa’s most vulnerable citizens with comprehensive banking services and valuable solutions to help them achieve their financial goals.”

Tailored Financial Solutions for Vulnerable Households

EasyPay Everywhere has developed affordable and reliable banking solutions tailored to the needs of its customers, particularly South Africa’s grant recipients. Phakathi emphasizes the importance of customer feedback in shaping their offerings. The company provides multiple service channels, including physical and pop-up branches in townships and rural areas for those who prefer face-to-face interactions. Digitally inclined customers can access services via USSD or a smartphone app, with additional support available through a contact center.

“A key part of our value proposition is proactive communication with our customers. We inform them via SMS about transactions and when their grants have been received. Customers can also check their balances or get statements through USSD,” explains Phakathi. “This eliminates the need to spend money on transportation just to verify grant payments.”

EasyPay Everywhere recognizes that lower-income families need more than just transactional banking. They often require credit for unexpected expenses like home repairs, school supplies, or medical emergencies.

Responsible Lending Practices

To address this need, EasyPay Everywhere has developed a responsible lending model. Unlike unregulated moneylenders who charge exorbitant interest rates, EasyPay Everywhere offers loans with only an initiation fee and a monthly service fee over a six-month repayment term. Crucially, they conduct affordability assessments to ensure customers can manage the loan repayments.

“Access to affordable loans is one of the most appreciated features of our services. Our ‘Tell us what you love’ Facebook campaign revealed that customers rely on EasyPay Loans for significant expenses and to bridge financial gaps, sometimes literally to put food on the table,” says Phakathi. “For some, a quick EasyPay Loan has enabled them to get urgent medical care for a sick child.”

Many EasyPay loans are taken up by single mothers and older people who receive Older Person’s grants. Phakathi notes that 70% of loan customers use the loan facility multiple times, highlighting its importance in their financial planning.

Supporting Extended Families South African families, particularly those headed by women, often rely on extended family support. EasyPay Everywhere has developed products tailored to these needs, such as funeral cover for up to six family members and a pensioners’ plan that provides insurance for over-60s and their dependents for as little as R10 per month.

Over 400,000 customers have taken up an EasyPay Insurance policy, with the total value of cover provided exceeding R5.2 billion. In the past 24 months, EasyPay Insurance has paid out over R157 million in claims.

“Our customers’ needs evolve as they go through different life stages, and we strive to develop products that address these changing needs,” concludes Phakathi. “Times are tough for many people. EasyPay Everywhere aims to make financial management easier, providing top-notch financial tools, affordable insurance, and loans to help them maximize their resources. We call it bringing things together, or as we say in Zulu, ‘izinto ziyahlangana’—Easynto Ziyahlangana.”