Pedro, 51, lives in the municipality of Itagüí, Colombia. Due to his lack of education, he decided to work part-time to earn an income and satisfy his basic needs. For fifteen years, he has worked running around the city streets to sell coffee, cigarettes, and baked goods to pedestrians. With this business activity, he earns the income that is necessary for his food and personal expenses.
His greatest dream is to be able to improve his financial conditions and quality of life, because one of his greatest difficulties is the instability in his income due to factors such as rain that determine his daily salary. He is applying for a loan which he will invest in the purchase of thermoses and coffee to increase his production and earn a greater income.
Pedro de 51 años de edad, reside en el municipio de Itagüí, Colombia. Debido a la carencia de educación tomó la decisión de subemplearse para generar ingresos y poder satisfacer sus necesidades básicas. Desde hace 15 años labora recorriendo las calles de la localidad vendiendo tinto, cigarrillo y parva a los transeúntes. Por medio de su actividad genera lo necesario para su alimentación y gastos personales.
Su mayor sueño es poder mejorar su condición económica y calidad de vida ya que manifiesta que una de sus mayores dificultades es la inestabilidad en sus ingresos, por que existen factores como la lluvia que determinan su salario diario. Hoy ase encuentra solicitando un crédito que invertirá en la compra de termos y café para aumentar su producción y generar mayores ganancias.
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.