Cruz has a fruit and vegetable stall located in her home and it is through this business that she generates an income to support her son. She is a single mother who heads the household as the father of her child left them some time ago. Given the limited financial opportunities, the difficulties in obtaining capital in her business have always been the main obstacle in expanding, but now that Cruz has the opportunity, she is seeking a loan to buy more fruit and vegetables and thereby increase the variety of products she offers her customers.
In this manner, Cruz hopes that her sales will increase and in turn her household income, which will enable her to overcome the biggest financial difficulties and improve the quality of life she is providing her son.
Cruz tiene una venta de frutas y verduras ubicada en su casa y es con este negocio que genera los ingresos para el sostenimiento de su hijo, pues es madre soltera cabeza de hogar ya que el padre de su hijo los abandonó hace un tiempo. Debido a las pocas oportunidades económicas, las dificultades de capital en su negocio siempre han sido su mayor obstáculo para crecer, pero ahora que tiene la oportunidad Cruz busca un préstamo para comprar más verduras y frutas y así poder aumentar la variedad de productos que ofrece a sus clientes.
De esta manera espera sus ventas aumenten y así los ingresos para el hogar, permitiéndole superar las grandes dificultades económicas y mejorar la calidad de vida que le ofrece a su hijo.
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.