María Yaneth is 27 years old and she has liked to bake ever since she was a child. She wakes up early every morning, and goes to the kitchen to prepare pies and bread that her neighbors and local people order. This line of work makes it possible for María Yaneth to pay for her university studies.
Her biggest dream is to open her own establishment, a sort of cafeteria/bakery, and she is currently working on this project. She is requesting a loan to buy supplies and materials needed for making her products. December is a time of the year when she receives a lot of orders, which makes it an excellent opportunity for her to increase her income.
María Yaneth tiene 27 años de edad y desde niña le ha gustado la panificación, Todos los días se levanta muy temprano, se dirige a la cocina y comienza su faena con la preparación de pasteles y panes que le encargan sus vecinos y personas del sector. Con esta actividad ella sostiene sus estudios universitarios. Su mayor deseo es montar su propio negocio con servicio de cafetería y repostería, proyecto en el cual se encuentra trabajando. En la actualidad busca solicita un crédito para la compra de latas, insumos y materiales para la elaboración de sus productos ya que en diciembre se aumentan sus pedidos y es una excelente oportunidad para aumentar sus ingresos.
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.