Nelly M. is from the city of Medellín. For 20 years she has been selling merchandise as a source of income. She is single and lives with her mother who is over 80. She is able to care for her thanks to the earnings from her business.
She sells her goods door-to-door to customers who are distributed throughout the different parts of the city and on many occasions the heavy rainfall keeps her from being able to work. But Nelly is very enterprising and plans to use the loan to buy more clothing and jewelry so she can offer a wider variety of products and increase her customer base and income.
Nelly M. es de la ciudad de Medellín. Hace 20 años tiene un negocio donde se dedica a la venta de mercancías. Es soltera y vive con su madre que tiene más de 80 años de edad a quien cuida y mantiene gracias a los ingresos de su negocio.
Ella debe desplazarse con sus artículos para la venta hasta donde sus clientes, que se encuentran en diferentes zonas de la ciudad y muchas veces las fuertes lluvias no le permiten llegar hasta donde sus compradores. Sin embargo Nelly es una mujer emprendedora que quiere con el crédito poder comprar más mercancía como ropa y joyería, para ofrecerle mejores cosas a sus clientes y espera en un futuro poder aumentar su clientela y expandir 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.