Julián is 29 years old and has been working as a tailor for some time. Before the business belonged to his brother but they now work together and Julián will soon own the whole business on his own.
Julián tells us that he is very satisfied with his results as the business has become a source of support for his children and parents. He is now applying for a loan to buy supplies and an industrial overlock sewing machine to replace his current one, which has become deteriorated through use. Julián is confident that this investment will improve production times and increase his income.
Julián tiene 29 años de edad y se dedica al oficio de la confección desde hace algún tiempo. Cuenta que el negocio pertenecía a su hermano el cual le propuso trabajar juntos y posteriormente le dejó la totalidad del negocio.
Asegura que hasta la fecha se siente muy satisfecho con los resultados obtenidos, pues el negocio se ha convertido en la fuente de sostenimiento para sus dos hijos y padres. Se encuentra solicitando un crédito para la compra de una máquina fileteadora industrial e insumos con el fin de remplazar una que se encuentra deteriorada por uso. Asegura que con dicha inversión mejorará tiempos de producción y aumentaran 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.