Jaime has worked in transportation for three years now offering his services to the people in his municipality with his horse-drawn cart. However, government authorities are currently implementing a decision to replace all horse-drawn carts with delivery vans and they are offering subsidies to those transporters to change their vehicles. As Jaime does not have a lot of available capital, he needs a loan to cover the rest of the cost of trading in his horse-drawn cart for a delivery van so he can follow government regulations.
His dream is to have better income and he hopes that this will allow him to make more deliveries so his profits will improve. He also hopes to have a better quality of life and better financial opportunities for hims household.
Jaime trabaja desde hace 3 años en la actividad del transporte, prestando este servicio a las personas de su municipio gracias a un coche jalonado por un caballo que tiene. Sin embargo, actualmente las autoridades del Gobierno están implementando una decisión que busca cambiar todos los coches jalonados por caballos a unos motocarros, y para esto está brindando un subsidio a los transportadores para que cambien sus vehículos de transporte. Como Jaime no cuenta con un gran capital disponible, necesita un préstamo para completar el dinero que hace falta para cambiar el coche jalonado por un caballo a un motocarro, y así cumplir con la reglamentación del gobierno.
Su sueño es poder tener mejores ingresos y espera que de esta manera pueda hacer más transportes, así que sus ingresos mejorarán. Además, aspira a tener una mejor calidad de vida y mayores oportunidades económicas en su hogar.
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.