Sergelen S., 54, is a married and has two children. His family lives in the Ger district on the plot of land he owns in the small town of Arhangay, one Mongolia's central provinces. His oldest daughter, Dorjdulam, is 19 and a university student in Ulaanbaatar, the capital city. His youngest son, Luvsandorj, is 15 and attends a local high school. Sergelen has a second-hand vehicle which he has used to run a taxi service for last 11 years. Since he has a lots of experience in this field, his daily income has more than doubled. He is a friendly, open and well-respected person. Since he lives is a very small town, most of his clients are local residents who know him very well. He is applying for this loan to buy tires and spare parts for his vehicle.
This loan is being administered through XacBank, a Mongolian for-profit microfinance institution. XacBank is located in every province of Mongolia, reaching some of the most rural micro business clients. With this Kiva loan, there is an opportunity for the entrepreneur to get a savings account including 9% of the interest if they pay back the loan on time. This is a special savings account that XacBank has specifically prepared for the Kiva loan borrowers to promote savings habits.