William is 52 years old and lives with his mother and two children, ages 16 and 17. Since he was a youth, he has run the business that he inherited from his father, which has become the main income for the household. He wants to be able to offer his children a university education, but he is conscious of the fact that his business does not currently provide enough of an income to offer his children the ability to begin taking classes. Because of this, William is looking for a loan to buy merchandise and generate a higher income with which he hopes to make his children's dreams a reality.
William de 52 años de edad, vive con su madre y sus dos hijos de 16 y 17 años. Desde su juventud se ha dedicado a la tienda de abarrotes que heredó de su padre, el cual se convirtió en el sustento para su casa. Desea poderle ofrecer a sus hijos educación universitaria, pero es consciente que su tienda no proporciona los ingresos suficientes para ofrecerles a sus hijos la oportunidad de ingresar a la universidad. Debido a esta situación William se encuentra en búsqueda de un crédito para comprar surtido y generar mayores ingresos con los que espera poder hacer realidad los sueños de sus hijos.
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.