Social workers offer many valuable services to society, especially to those in need. One such service is helping vulnerable households to manage their finances better, take control of their income and achieve financial wellbeing.

This is one of the main findings of a new study at Stellenbosch University (SU).

“Poor South Africans often have limited access to reliable, safe and convenient financial services. Through various interventions, social workers have helped to facilitate the financial capabilities of vulnerable households so that they can attain financial wellbeing," says Dr Ntobeko Bambeni who is a social work manager at the Department of Social Development. He recently obtained his doctorate in Social Work at SU.

As part of his study, Bambeni interviewed social workers, supervisors and social work policy managers to gain a better understanding of how social workers facilitate the development of vulnerable households' financial capabilities. Financial capability is the combination of knowledge, skills, attitudes and behaviour that a person needs in order to make sound financial decisions to support financial well-being.

According to Bambeni, the causes of financial vulnerability include the misuse of social grants, addictive social behaviour, unscrupulous financial lenders, illiteracy and poverty. He adds that vulnerable households don't always have the knowledge about financial products offered by both the formal and informal financial services institutions.

Bambeni says his study shows that social workers helped to facilitate financial capabilities through their roles of educator, advocate, communicator, enabler and negotiator. They blend these social work skills gained at university with their personally acquired financial knowledge.

“Through community outreach programmes, social workers create awareness about the objectives of social grants and how to ensure that they are used for the intended goals in order to yield optimum benefit for beneficiaries for their sustainable psychosocial and financial wellbeing. They also teach low-income earners about basic financial concepts and their application in the financial sector, including budgeting, savings and credit.

“Social workers advise them on the efficient and effective financial management of their household income. They also inform them of available economic opportunities and financial products offered by formal and informal financial service institutions so that they can make informed decisions in choosing the best financial products for their particular financial circumstances.

“The advice social workers provide seeks to complement low income, mitigate the negative impact of poverty and motivate them to become economically active and not depend on social grants alone."

According to Bambeni, social workers also protect vulnerable social grant beneficiaries against possible financial exploitation by caregivers, grocery shop owners, procurators and unscrupulous loan sharks.

“They negotiate reasonable debt repayments on their behalf or report uncooperative loan sharks to the police."

He adds that social workers enable vulnerable households to become financially capable by monitoring the implementation of action plans that are aimed at attaining financial capability.

Despite the success and effectiveness of their interventions, social workers still need more support to improve their skills and knowledge regarding the facilitation of financial capabilities, says Bambeni.

He adds that the Department of Social Development and tertiary institutions should capacitate social workers in financial management and financial capabilities development through in-service training and the inclusion of financial capabilities development in the social work curriculum.

FOR MEDIA ENQUIRIES ONLY

Dr Ntobeko Bambeni

Department of Social Development

Email: ntobeko.bambeni@webmail.co.za

ISSUED BY

Martin Viljoen

Manager: Media

Corporate Communication and Marketing

Stellenbosch University

Tel: 021 808 4921

Email: viljoenm@sun.ac.za

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