The economic needs faced by the family of Sor Miriam -- made up of her husband and their two children -- were the impetus for this entrepreneur to start her own business making traditional arepas [corn cakes]. Although she admits that the profits from this source of family income are not large, at least the household expenses are covered.
Currently, Sor needs a loan to carry out some improvements to her work area, since in order to continue selling her product, she will have to comply with some basic health standards.
Las necesidades económicas por las que atravesaba la familia de Sor Miriam conformada por su esposo y sus dos hijos fueron el impulso para que esta emprendedora empezara a hacer de la tradicional arepa su propio negocio, una entrada familiar que aunque como ella misma lo afirma no son muchas las ganancias por lo menos se equilibran los gastos del hogar.
Actualmente Sor necesita de un préstamo para realizar algunas adecuaciones locativas, pues para poder continuar vendiendo su producto deberá cumplir con unas normas básicas de sanidad.
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.