At the age of 67, what Hector has in abundance is the will to work. He rises very early every day to head to his vegetable stand to start the task of cleaning the fruit and vegetables so that they’ll be ready for sale. His wife who is also very tenacious heads to the vegetable stand to help her husband after she finishes the housework and making the ‘arepas’ [grilled corncakes] she sells to her neighbors. Hector wants to increase sales but he states that his great obstacle is not having a variety of products his customers frequently request. Because of this, he’s looking for a loan that will allow him to finance his stock. His greatest wish is to be able to provide his wife and children with better quality of life.
Héctor a sus 67 años, lo que le sobran son ganas de trabajar. Cada día se levanta muy temprano, se dirige a legumbrería a comenzar las tareas de limpieza de las frutas y hortalizas que después estarán listas para la venta. Su esposa también es una luchadora, después de realizar los quehaceres de la casa y de elaborar las arepas que vende a sus vecinas, se dirige a la legumbrería a colaborarle a su esposo. Héctor desea aumentar sus ventas, pero manifiesta que su gran problema es que no cuenta con la diversidad de productos por los que los clientes solicitan con frecuencia, debido a esta situación, se encuentra en búsqueda de un crédito que le permita financiar el surtido. Su mayor anhelo es poder brindarle a su esposa e hijos una mejor calidad de vida.
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.