How to Set Up and Run a Chama on Paysasa

Running a chama takes commitment. Officials track contributions, follow up with members and make sure payouts go to the right person at the right time. Paysasa's Chama feature makes that work lighter by giving the group one place to coordinate contributions, see balances and manage rounds.

This guide walks officials and members through setting up and running a chama on Paysasa.

Before you start

• Agree as a group to use Paysasa and nominate the official who will create the chama.
• Make sure the official — and ideally every member — has a Paysasa account with KYC completed.
• Have your chama's rules ready: contribution amount, frequency, payout order, fines and what happens when someone leaves.

Step 1: Open Chama

1. Sign in to Paysasa at app.paysasa.com.
2. Open Chama from your dashboard (app.paysasa.com/dashboard/chama).
3. If you cannot see it, enable it under Module settings.

Step 2: Create your chama

1. Choose to create a new group.
2. Enter the group name and a short description — for example, "Mama Mboga Welfare Group — weekly merry-go-round".
3. Set the contribution amount and contribution frequency, such as weekly or monthly.
4. Decide whether joining is invite-only or open through a public chama link. Most chamas prefer invite-only.
5. Save the chama.

Step 3: Invite members

1. Open your chama's detail page.
2. Invite members by phone number or email. Paysasa sends an invitation they can accept.
3. If you enabled public joining, share the chama link in your group chat instead.
4. Track pending invitations and follow up with anyone who has not accepted.

Tip: Hold a short session — in person or online — to help members accept invitations and complete KYC, especially those less familiar with apps.

Step 4: Record your starting position

If your chama already has savings, agree on the opening balance and each member's contribution history before you start. Write it in your minutes and have members confirm it, so everyone begins from the same page.

Step 5: Collect contributions

Each round, members contribute through the chama's contribution actions inside the app. Contributions are linked to wallets, and members can see what has been paid.

Good habits:

• Announce each contribution date in advance.
• Encourage members to contribute a day or two early.
• Review who has paid before each meeting.

Step 6: Manage rounds and payouts

For merry-go-round chamas, the payout order matters. Use the round and payout features in the chama detail page to follow the agreed queue, so everyone can see who is next. For investment chamas, use contributions to build the group balance and agree investment decisions together.

Step 7: Keep members informed

Transparency prevents most chama disputes. Paysasa gives members visibility of contributions and balances, but officials should still:

• Share a summary at every meeting.
• Record decisions in minutes.
• Communicate any rule changes in writing.

Step 8: Review regularly

Every few months, review how things are going:

• Are contributions on time?
• Are the rules still working?
• Do any members need help using the app?
• Should the contribution amount change?

Tips for officials

• Never ask members for their PIN. Each member authorises their own contributions.
• Keep chama money separate. Avoid moving group money into personal wallets.
• Plan handovers. When officials change, review balances and settings together.
• Use other tools where they help. Members can use Lengo for personal savings goals and Deni to record informal loans between individuals.

An illustrative example

Imagine a group of twelve market traders in Kakamega who contribute every Friday. The treasurer creates the chama with a weekly contribution, invites members by phone and agrees the payout order at the first meeting. Each Friday, members contribute through the app before the meeting, and the treasurer opens the chama page to confirm who has paid. Disagreements about "who paid when" disappear, because everyone can see the same record.

Frequently asked questions

Can a member belong to more than one chama?

Yes. Members can join different groups, each with its own rules and records.

What if a member misses a contribution?

Follow your chama's constitution. Visibility in the app makes it easier to see and address missed contributions fairly.

Are there fees?

Any applicable fees are listed on the Paysasa pricing page.

Conclusion

A well-run chama is built on trust, discipline and clear records. Paysasa's Chama feature supports all three, so officials spend less time chasing and members always know where the group stands.

Ready to set up your group? Learn more about Chama on Paysasa or sign in to create your chama today.