Milciades is 31 years old, he was a peasant and worked as a farmer for several years.
One year ago he decided to work making horseshoes along with a partner, since he didn't have enough capital to establish his own business. He believes this change has been for the best, because he assures us his living standards have improved and he has been able to provide his family - particularly his eight-year-old son - better opportunities for education.
His dream is to one day own his own home and establish his business, so that his financial situation improves and he may guarantee higher living standards for his family. That is why he is requesting a loan, which he will invest in purchasing 1/2 and 3/8 rods, metal sheets, and charcoal, so that his production capacity and the sales of his products increase.
Milciades, tiene 31 años de edad, es de origen campesino y se dedicó por varios años al oficio de la agricultura.
Desde hace un año decidió dedicarse a la fabricación de herraduras, en compañía con un socio, ya que no contaba con el capital para adecuar la microempresa. Siente que su cambio ha sido para mejorar, pues asegura que sus condiciones de vida han incrementado y le ha brindado a su familia, en especial a su hijo de ocho años de edad mejores posibilidades de educación.
Sueña con tener algún día su propia vivienda y acreditar su negocio, para mejorar su situación económica y garantizarle a su familia mejores condiciones de vida. Por esta razón se encuentra solicitando un crédito que invertirá en la compra de varilla de ½ y de 3/8, lámina y carbón para aumentar su capacidad de producción y venta de su producto.
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.