Francisco is a pharmaceutical chemist, and he has practiced his career for the greatest part of his life. However, life’s circumstances left him without work, and he was obliged to look for an alternative income for his support. That is why he made the decision to become independent and set up his own business. His business focuses on party items and, especially on selling cakes.
His greatest dream is to expand his line of products. That is why he is requesting a loan to buy a small freezer for ice cream and to buy candy for the Christmas season.
Don Francisco es químico Farmacéutico y la mayor parte de su vida ejerció su carrera, pero por circunstancias de la vida se quedó sin empleo y se vio en la obligación de buscar una alternativa de ingresos para su sustento. Por esta razón tomó la decisión de independizarse y montar su propio negocio, enfocándose en el sector de piñatería, especialmente en la venta de tortas. Su mayor deseo es ampliar su línea de productos por lo cual se encuentra solicitando un crédito que invertirá en la compra de un congelador pequeño para helados y la compra de dulcería para la temporada navideña.
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.