NUMERICAL AND COMPARATIVE ANALYSIS OF SAVINGS AND LOAN SCHEMES USING COOPERATIVE SOCIETIES, BANKS AND CONTRIBUTORY SCHEMES

Adenegan, Kehinde Emmanuel and Adedoja Hannah

Department of Mathematics, Adeyemi College of Education, Ondo

adeneganke@aceondo.edu.ng

 

ABSTRACT

The needs of man are insatiable and the yearnings and aspirations are always there to satisfy our wants with insufficient and staggering salaries, incomes and financial benefits in work places, business or financial transactions. Most people resolve to save money and take loans from the banks or cooperative societies to satisfy their needs while few others join contribution and shift groups. However, there are sometimes many inherent challenges involved such as risks and apparently, the interest rates are not usually the same with heterogeneous conditions readily attached. To this end, this paper considers the numerical and comparative analysis of savings and loan schemes using some selected cooperative societies, banks and contributory schemes in Ondo West Local Government of Ondo State. The results show that there is significant difference between loans in cooperative societies and banks; credit shift contributory schemes have better economic relevance and benefits than bank and cooperative society loans if well securely handled and that having savings with cooperative societies has greater advantage over savings account with commercial banks. Recommendations are hereby given to investors, contributors and loan beneficiaries.

 

Keywords: Contributory Schemes, Credit and Shifts, Loan, Cooperatives, Banks, Interests.