 | Daughters of Sysiphus |
 |  | Savings and loans |
|
|
Choices of form of saving
The bank proved the most popular form of saving overall among heads of household, with the building societies proving least popular. There were some differences in preference between different types of household (see table 11).
Table 11. Distribution of different types of household by form Or saving
|
Form of saving |
Percentage of households |
|||
|
All |
Female- headed |
Male- headed |
Joint- headed |
|
|
Partner |
33 |
38.5 |
20 |
32 |
|
Credit union |
15 |
11 |
19 |
17 |
|
Building society |
4 |
3 |
3 |
5 |
|
Bank |
56 |
56 |
57 |
57 |
The Partner is rather more popular with female heads than with male or joint heads and this is particularly true of Partners where the banker is based in the community rather than at the work place.
Some comments from the case studies are given below that explore the merits of the various systems.
Auntie
She has been saving with a credit union for the last two years. She makes payments of $100 a week because she hopes she'll be able to afford a house one day. Before 1986 she had no organized system of saving at all.
Deula
"Right now to be honest I don't have any savings. It's like the house take all of it because for what I have saving and through the children going school so everything come out. I used to save with the city of Kingston credit union and I used to have a little bank account. Now I have nothing."
Marcia
"I have very little saving. That's what's bothering me because knowing that I'm working and it just go like that. You don't save nothing."
Megan
During the 1970s Megan used to throw a partner. She was employed under the Crash Programme as a street cleaner and the local councillor set up the partner for them. However, since 1980 when the Government changed. Megan has been out of a job and the partner scheme died and she has had no way of saving systematically.
She once tried to open a bank account and has never tried again. The bank expected her to provide an ID. a letter from a Justice of the Peace and two recommendations. She had none of these so she took her money and within days it was all spent off.
Pam
Pam belongs to a credit union. She likes the credit union because she can get 5 per cent discount at the furniture stores and she can borrow three times the amount she has saved. She used loans from the credit union to buy her bed, her dresser. her whatnot, her buffet and her refrigerator. She has paid off on everything but the refrigerator. When she gets her draw from the partner she uses it to pay off the credit union loan.
"The money I save is always there in the credit union. My boys have their own accounts as well. They save their lunch money and pocket money and tek it to the bank on Fridays. One of them gave me $60 to pay for a pair of shoes."
Pansy
Pansy saves at the bank and tries to do so on a regular basis. Sometimes this is difficult because of all the bills.
Verona
She has no savings at all.
Loans
Only 18.7 per cent of the respondents in the low-income household survey indicated that they had ever taken out a loan and the percentage was substantially lower In the case of female heads of household. While 22 per cent of male heads and 23 per cent of loins heads had taken out loans this was only so of 13 per cent of female-headed households.
Those who had not taken out loans were asked why not and their answers proved revealing. The figures are given in table 12.
Table 12. Distribution of types Or household head by reason for not taking out loans
|
Reason for not taking loan |
Type of household |
|||
|
Female-headed |
Male-headed |
Joint-headed |
Total |
|
|
Not ready |
26 |
13 |
35 |
74 |
|
Personal family reasons |
5 |
5 |
8 |
18 |
|
Tried but refused |
2 |
3 |
0 |
11 |
|
Fear of inability to pay |
67 |
15 |
51 |
133 |
|
Lack of knowledge |
10 |
3 |
11 |
24 |
|
Not a borrower |
45 |
18 |
32 |
05 |
|
Not security |
36 |
11 |
32 |
79 |
|
No need |
3 |
2 |
1 |
6 |
|
Total |
194 |
70 |
176 |
440 |
As can be seen female heads of household were more worried about their inability to repay a loan than other types of household heads and were also more likely to see themselves as "not a borrower. Borrowing money is often seen as lust too risky a business. One of the main problems, as far as taking out loans is concerned for both female and joint heads, is their lack of collateral.
Comments about loans which have been taken from some of the case studies are given below.
Auntie
Has thought of trying to get a guarantee for a loan from a restauranteur she knew, but would not actually take a loan from him. She would take it from a bank.
Icie
No savings. "If I could get a loan I would raise chickens.
Letty
Occasionally she has borrowed to pay off debts but only from close friends and never very much or for very long. She has often saved with Partners.
Marcia
If she could get a loan she would try and set up a shop of her own.
Megan
She is uneasy about taking a loan.
"To tell the truth I am afraid of taking a loan. I know Government don't pity people who owe them and they will send us to prison or take away what we have so I just stay far. But if they can assure me that they will not harass me then I will borrow money. I don't have nothing to offer as collateral but maybe they could wait until my children get big and give them good work so that they can repay a loan. I know my children would do it for me."
Pansy
The only real credit available in the community, according to Pansy, is from the local politician who assists some people with loans. However the only time she ever tried to see him he didn't have the time and she never tried again. When people find that things are getting really tough they usually go to a local Chinese shopkeeper for help. This particular shopkeeper has been considered a benefactor of the community for many years.
|
|