César is single man of 38 who works in agricultural and livestock farming. He is a zootechnician by profession and currently grows sugar cane and coriander, breeds poultry and has dairy cattle. In addition, he works in a fruit and vegetable production unit under an agreement with SENA (the National Service of Professional Training). This all generates income which he uses to cover his basic needs and support his parents. César is hardworking, knowledgeable and passionate about his work, and always on the lookout for new opportunities to make progress. For this reason, he considers the loan a big help because he wants to branch out into growing passion fruit, which is what he will use the loan for. He will buy manure, fertiliser, vitamins and fungicide to prepare his land, transplant his plants from the seedbed and tend his other crops. This will give him the opportunity to offer a greater variety of products at the market and to produce excellent crops so he can sell his products at higher prices. This will enable him to continue growing and get closer to fulfilling his main goal of owning a sustainable and lasting production unit which will boost his profits and enable him to enjoy better living conditions and provide a better quality of life for his parents.
César es un hombre soltero que a sus 38 años de edad se dedica a la producción agropecuaria. Es zootecnista de profesión y actualmente posee cultivos de caña y cilantro, cría aves y tiene ganado productor de leche; adicionalmente trabaja en una unidad productiva de frutas y verduras en convenio con el Sena. Todo esto le genera ingresos para solventar sus necesidades básicas y aportar para el sostenimiento de sus padres. César es un hombre trabajador, conocedor y apasionado por su labor, está en constante búsqueda de nuevas opciones que le permitan salir adelante, por esta razón, encuentra en el crédito un apoyo, pues desea incursionar en el cultivo de maracuyá, para lo cual invertirá el dinero; comprará abonos, fertilizantes, vitaminas y fungicidas para adecuar el terreno y poder trasplantar las plantas del semillero y realizar mantenimiento a sus otros cultivos. Con esto tendrá la oportunidad de ofrecer más variedad de productos en el mercado y podrá sacar una cosecha de excelente calidad, para vender los productos a mejor precio, así seguirá creciendo y avanzará hacia el cumplimiento de su principal meta que es tener una unidad productiva sostenible y perdurable en el tiempo, que le genere mayor rentabilidad para poder gozar de mejores condiciones de vida y ofrecer a sus padres una mejor calidad de vida.
More information about this loan
By funding this loan, you are promoting entrepreneurship in remote regions, including areas recovering from guerilla warfare in Colombia, and helping to reverse the rural exodus which occurred in the past decades when a the rural population fled their countryside homes for the safer cities.
This Kiva loan was created by Kiva's field partner Interactuar specifically for Kiva funding, in an effort to reach more borrowers in rural areas. Most of the Interactuar's lending operations are focused in urban parts of Medellin. But this loan product is designed to provide working capital to riskier agricultural businesses who have been traditionally excluded from the finance sector.
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.