Rafael de Jesús M. C. learned the carpentry trade when he was a young boy. After having worked for some years, he decided to work for himself, set up his own business and improve his quality of life as, although he lives on his own, he hopes to enjoy his old age.
Currently Rafael needs a loan to buy some machines that will allow him to improve his production and thereby attract even more customers. His hands are what have made the work but he would like to increase his machinery so that he can expand his business even more.
Desde pequeño, Rafael de Jesús M. C. aprendió el oficio de la Carpintería y después de trabajar durante algunos años decidió independizarse para montar su propio negocio y mejorar su calidad de vida, pues aunque vive solo espera llegar a una vejez bien vivida.
Actualmente Rafael necesita de un préstamo para comprar algunas máquinas que le permitirán mejorar su producción y así captar cada vez más clientes, pues además de sus manos que son lo que le han generado el trabajo desea ampliar su maquinaria para ampliar cada vez más su negocio.
This loan is structured on Kiva as a bullet loan, which means a single payment is required at the end of the loan term. By Colombian law, Kiva's partner Interactuar is required to offer borrowers loans with a variable interest rate that fluctuates with the market rate. Because fixed monthly payments are applied first to interest and then to principal, Interactuar is unable to predict upfront what portion of each repayment would go towards the loan principal. This creates a challenge with Kiva's system, which doesn't allow for unpredictable principal payments, and can result in some Interactuar clients appearing falsely delinquent. To remedy this, the loan has an end-of-term repayment plan on Kiva, but the borrower will continue scheduled monthly repayments to Interactuar, who will then pass along the principal amount to Kiva lenders. This means that you may see repayments made on this loan throughout the repayment term, as opposed to receiving repayment in full at the end of the loan term.