CowryWise Review: What is Cowrywise all about

With our cowrywise review, you will definitely get to know the best platform to save and invest your money with.

A lot of people like you come across different online platforms for making money like piggyvest, Cowrywise, etc and you bear this burden in mind to know if these platforms are legit or scam. And this make you anxious to know our cowrywise review.

It’s really a big loss of your money and time spending on a platform that ends up being a scam this prompt for making research before jumping into online platforms in order not to make big mistakes that will make you feel bad at the end of the day.

Table of Contents

About Cowrywise

Cowrywise is a financial technology company founded in July 2017. Cowrywise is a registered Cooperative with its assets held and monitored by Meristem Trustees Limited, an SEC-registered company. Cowrywise is run by finance and technology professionals with over 20 years aggregate domain experience. On our team is a CFA charterholder and technology solution architects. You’re rest assured your savings are in safe hands. It aims to ease the process of savings and investments. This is done through its automated savings platform and various investment platforms such as money market funds and mutual funds.

Cowrywise is registered with the Corporate Affairs Commission (CAC) and Lagos State Government as a cooperative and multipurpose society.

Who is behind cowrywise?

Cowrywise.com is run by a team of 3 comprising Razak Ahmed, Edward Popoola, and Feyisayo Shonubi. Razak serves as the CEO (Chief Executive Officer) of the company, Edward the Chief Techonology Officer (CTO), while Feyisayo is in charge of product design.

CowryWise Review: What is Cowrywise all about

What is Cowrywise?

Cowrywise helps make saving and investing seamless. Cowrywise takes away the stress and planning required to save and invest on a regular basis through its automated and easy-to-use platform. Your savings also generate interests until a set maturity date. For Muslims who just want to save without earning interests, we have the automated halal savings option.

Why should I save on Cowrywise?

Cowrywise is suitable for anyone who:

  • never want to miss their saving and investment goals again.
  • wants to save and invest even while they are asleep.
  • wants the discipline to keep their savings and investments for a long period of time without tampering with them.
  • wants to plan their financial goals with easy to use financial tools.

How are cowrywise able to offer higher returns than traditional banks?

This is simple. We do not have the high-cost base of traditional banks. Our operations are lean, driven by our proprietary technology. We invest our customers’ funds in risk-free instruments offered by the Central Bank of Nigeria, Nigeria’s Debt Management Office (DMO) and a few low-risk investment opportunities such as corporate bonds and high-quality commercial papers. These cost savings are passed to our customers in the form of higher returns.

What kind of debit cards can I use on Cowrywise?

Cowrywise accepts debit cards issued by all Nigerian banks.

How much can I save on Cowrywise?

You can start your saving plans with as low as ₦100 (One hundred Naira). We do not have an upper limit. You have a billion Naira you want to save with us? Please go ahead.

What types of savings and investment plans are available on Cowrywise?

  1. Regular Savings. With this, you can set your savings plan to be daily, weekly or monthly for a minimum of 3 months. You need only to specify this once during the setting up of your plan and Cowrywise will ensure this money is saved automatically on those specified days into your Cowrywise savings plan. You can also choose to manually top up your savings plan randomly with other amounts outside the automated scheduled amount.
  2. Life Goals. These plans help you meet commitments to long term financial goals. These are similar to periodic plans but they have a minimum maturity period of 1 year.
  3. Halal Savings. These are for Muslims who don’t want to earn interest on their savings. They can be set up as periodic plans, life goals, save as you earn plans or fixed plan; but they won’t attract any form of interest.

How many saving plans can I create on cowrywise?

All dreams count, so you can create as many plans as you wish. Housing Plan, Car Plan, Wedding Plan, Education Plan, Children Plan, Vacation Plan and so on. You have the flexibility to give each plan a unique name that resonates with your financial goals.

How long can I keep my savings and investment with Cowrywise?

There is a minimum duration of 90 days and no maximum time limit. You can keep your savings and investment with us for as long as you wish. We make everyday count by making your plans earn returns daily.

What rate of return do I earn on my cowrywise plans?

Our rates are drawn from the instruments we help you invest in. The instruments are treasury bills, commercial papers and government bonds. Before you create a plan, we’ll show you the prevailing rate and how much you stand to earn. Here’s a little secret, it’s always going to be better than your bank’s savings rate.

How do my earnings accumulate on Cowrywise?

For every plan created on Cowrywise, there is a maturity period assigned to it. For each maturity period range, there is an attached interest rate. Remember, we make everyday count by making your savings earn returns daily. This is done by prorating the annual interest rate attached to your plan. That is, a daily breakdown of the annual interest rate is paid on the available balance in your plan(s) each day. Also, as big fans of compound interest, your returns compound annually or whenever you rollover your plan after maturity.

Can I pause my plans in cowrywise?

Yes, you can.

  1. Simply select the plan you wish to pause.
  2. Tap “Edit”.
  3. Tap “Plan Status” to toggle between “Active” and “Pause”
  4. Select “Pause”
  5. Finally, tap “Save” to save the changes you’ve made.

When does my cowrywise saving begin to earn returns?

Your plans start to earn returns the following day after you begin saving on Cowrywise and on daily basis thereafter. Your daily returns are credited to your Cowrywise account by 12 midnight each day.

Can I monitor my cowrywise savings and returns?

Absolutely. Our dashboard was designed with this objective in mind. You can monitor the progress on your savings and investment plans and returns on daily basis on our easy-to-understand dashboard. On the dashboard, you can view the following:

  • Balance: a sum of your current savings and current returns.
  • Current Savings: the total amount of savings you currently have in your Cowrywise account.
  • Lifetime Returns: the total amount of returns you’ve earned since you create a Cowrywise account.
  • Current Returns: the total amount of returns you are yet to withdraw.

Also, we also push instant notifications to your verified email address and phone numbers for key transactions on your Cowrywise account, so nothing goes unnoticed or unapproved by you.

In cowrywise, what is a mutual fund?

Mutual funds pool money from various small investors to make massive investments at once.

In cowrywise, what are the various types of mutual funds?

The common ones being equity funds, fixed-income funds, and balanced funds. Equity funds invest your money in shares of high-flying companies that are carefully selected. While fixed-income funds invest in low-risk investments that are backed by a promise — government debt for instance; in which the government borrows x and agrees to pay back with a certain percentage. Finally, balanced funds. As the name suggests, they mix the earlier options.

How do I invest in mutual funds in cowrywise?

To invest in mutual funds, using Cowrywise, you’ll need to signup and login to take a short risk assessment. The results of this test will help us suggest funds you can invest in. Once you’ve chosen a fund, all you need do is buy some units of the fund to have your money invested in it.

How much interest can I earn with mutual funds in cowrywise?

The world is actually limitless with mutual funds. We have brought together a fine mix of fund managers that offer great rates. Hence, you’ll have to check out the various offerings once you log in.

Are mutual funds better than Cowrywise savings?

Not really. Cowrywise high-interest savings provide guaranteed returns, however, a mutual fund’s returns depend on the fund’s performance. Some funds can lose money while others can give higher returns than savings. What is key to note is that they help spread your money, which is very key when investing.

In cowrywise, does my investment earn interest daily?

Daily, you can monitor how much your fund has earned or lost (if it is a type of fund that invests in stocks).

What is the Systematic Investment Program (SIP) in cowrywise?

This is an automated investment plan allows you to effortlessly invest a fixed amount regularly into a mutual fund daily, weekly or monthly. That way, you can even invest in your sleep. The beauty of this plan is that, in the long term, it helps you benefit more despite the high and low performances of a mutual fund.

How can I redeem my cowrywise investment?

You’’ll have to sell the units you have bought and make a withdrawal request once you are credited in your stash. Once the funds are in your Stash, you can request for an instant withdrawal into your bank account. Please note that the value for sold units reflects in your Stash between 24 to 48 working hours after sales.

What is the Cowrywise Stash?

The stash is a money pool on the app that receives cash from sold mutual funds. Also, you can transfer from any bank account into your stash via bank transfers or USSD. Funds in your stash can be transferred to a savings plan, investment plan or another Cowrywise user. Finally, you can transfer to any bank account for as low as N25

What is the cowrywise management fee?

The management fee is a token the fund manager charges to ensure your invested funds earn money. The fee is deducted from the interest you earn. Finally, the fee is clearly stated on the details of each fund

What is the cowrywise processing fee?

To pay into a mutual fund traditionally you have to pay about NGN100 or NGN52.5 for transfers. In some instances, you even have to follow up with the fund manager to inform them of your payment. We have made the entire process a lot seamless! The payment processor that makes this possible charges a little percentage that is added when trying to buy a fund.

In cowrywise, who is a fund manager?

The fund manager is the professional who oversees the money invested in a mutual fund; to ensure it earns more money. Importantly, they are always registered with the Securities and Exchange Commission.

In cowrywise, who is a trustee in a mutual fund?

Trustees ensure that fund managers invest your money rightly and earn you correct returns.

What does a registrar do in cowrywise?

A registrar, in the case of a mutual fund, keeps a record of those who have invested in a particular fund and the invested amounts.

What is a risk assessment in cowrywise?

Before you invest in any fund, we take you through a risk assessment (test). Based on the results, we suggest the best-fit funds for you. Equity mutual funds are very spicy, that is they are for high-risk investors. On the other hand, fixed-income funds are a little bit spicy, while balanced funds are moderately spicy.

How much do you charge SMS and Maintenance fees in cowrywise?

Cowrywise is completely free: zero SMS fees, zero account maintenance fees.

How secure is my information on cowrywise?

Cowrywise was built with the security of your payment data in mind. Critical customer data is encrypted and securely stored. We do not store your card information as we work with a PCIDSS-compliant payment processor to handle all our customers’ card details. The PCIDSS is a standard guide, globally, that all reputable payment processors must adhere to.

How safe is my money in cowrywise?

In addition to investing your money in risk-free instruments, invested assets are held by Meristem Trustees, a company registered with the Securities and Exchange Commission (SEC), on behalf of savers. These assets are marked to market periodically to ensure customers are not exposed. Think of it as insurance and more

What is the role of Meristem Trustees?

Meristem Trustees is a subsidiary of Meristem Wealth Management Limited. The company was incorporated by the Corporate Affairs Commission as a Private Limited Liability Company in April 2012 and duly licensed by the Securities & Exchange Commission (SEC) to carry out the functions of Trustees in the Capital market in June 2012.

Meristem Trustees holds all invested assets on behalf of savers. This makes your money absolutely safe.

When can I withdraw my money from cowrywise?

You can only withdraw at the set maturity date. You can choose to withdraw some or all of your savings together with interests. You can decide to rollover the plan for another period or withdraw part or whole.

Rolling over matured plans for another period makes it possible to enjoy compound returns.

How can I withdraw my money from cowrywise?

Withdrawing your money is as quite simple and withdrawals are settled almost instantly.

To initiate a withdrawal, do follow these steps:

  1. Log in to your Cowrywise account.
  2. Select your matured plan
  3. Tap “withdraw”.
  4. Enter the amount you want to withdraw
  5. Select the withdrawal destination. You can withdraw into your bank or stash.
  6. Set a new maturity date.
  7. Make your withdrawal. Viola!

Please note that any funds left will be kept in the plan till the new maturity date you set.

If you have not added your bank details, tap “Banks & Cards”. Under “Banks” provide details of the preferred bank account to be credited and save. If withdrawal is not settled after six hours, do send us a message on any of our channels: Twitter, Instagram, Email or Live Chat.

Advantages of using cowrywise

  1. Easy to open: Opening a Cowrywise account took me less than 5 minutes. The instructions are also quite simple.
  2. Entry amount is quite low: Minimum amount one can start saving is N100. Other competitors in the same space have a much higher entry level.
  3. Automated deductions: The selected amount is automatically deducted from the account linked to the ATM card as at when due.
  4. No charges: Cowrywise has no charges for deposits/withdrawals/alerts.
  5. Interest accrued is displayed: Interest accrues on a daily basis and is shown in a dashboard that’s clearly displayed.
  6. Safety of funds: Depositors funds are warehoused with a trustee (Meristem trustees) for safe keeping.

Disadvantages of using cowrywise

  1. Website is not mobile friendly: I eventually had to complete my registration using a laptop as the website isn’t easy to navigate using a mobile phone.
  2. Age Limit: In what appears to be a bug that has not been resolved, the age limit for the profile is put at 1960.
  3. One product: Aside saving, Cowrywise offers no other investment options.

How does cowrywise make money?

Operating online means Cowrywise is able to avoid the costs of running a conventional brick and mortar bank.

How to register a cowrywise account

  1. Visit cowrywise registration page
  2. Fill the registration form and follow the due process

You can watch the video below in case you have any trouble in your registration

Alternatives or competition of cowrywise

Cowrywise doesn’t operate alone in this space. Other alternatives include piggybank.ng Piggybank offers a mobile app on IOS and Android, but has a higher minimum amount that can be saved. Piggybank also offers a maximum interest rate of 25% paid upfront, if customers are willing to lock a fixed amount.

In Summary

If you are looking for a savings and investment platform in Nigeria, what comes to your mind is Piggybank and Cowrywise, but you may be in dilemma of which one to go for. However, you can check out our review on piggyvest so that you may make up your mind on which platform you need to save and invest your money with and I hope with our cowrywise review and piggyvest review, you will definitely make up your mind on which platform to go for.

 

 

 

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