Arlet, 31, has been providing beauty services in a barber shop near her house for the last two years. She works from 9am until 8pm, Monday through Saturday. The development of this activity has become her sole source of income she uses to support her three minor children. She dreams with providing a better future and a quality education for her children which has motivated her to request a loan to buy beauty supplies like hair treatment, straighteners and a display case. She hopes with said investment that her sales will increase and her quality of life will improve.
Arlet de 31 años de edad, se dedica desde hace 2 años a prestar servicios de belleza en una peluquería ubicada cerca de su residencia. Trabaja de 9:00 a.m a 8:00 p.m de lunes a sábado. El desarrollo de esta actividad se ha constituido en su única fuente de ingresos, con la cual sostiene a sus tres hijos menores de edad. Sueña con brindarle a su familia un mejor futuro y a sus hijos una educación de calidad. Motivo que la ha impulsado a solicitar un crédito para la compra de productos de belleza como tratamientos, alisers y una vitrina. Espera que con dicha inversión sus ventas incrementen y su calidad de vida mejore.
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.