Oscar, 31, is the father of a three-year-old son and lives in a common-law marriage with his partner. Currently he works managing his business, a grocery store. It has been in operation for seven years and he gained it as an inheritance after the death of his mother. He works alone, from Monday to Sunday from 8:00 am until 9:00 pm. He is asking for this loan to buy wholesale stock (dairy products, cakes, grains, pastas, among other basic staples). This way, he will have more varied inventory with which to meet the tastes and needs of his customers. So he will be able to increase his sales and the income that he makes. Oscar dreams of having a bigger establishment in a more commercial zone, in which he can establish his business and increase his customer base. This will allow him to have more resources with which he will give his family greater comfort and a greater quality of life.
Oscar tiene 31 años de edad, es padre de un hijo de 3 años y vive en unión libre con su pareja. Actualmente se dedica a atender su negocio, una tienda de abarrotes, la cual lleva 7 años de funcionamiento y la obtuvo como herencia, luego del fallecimiento de su madre. Él trabaja solo, de Lunes a Domingo de 8:00 am a 9:00 pm. El cliente solicita el crédito con el fin de invertirlo en la compra de surtido al por mayor (productos lácteos, mecato, granos, pastas, entre otros productos de la canasta familiar), de esta manera tendrá más inventario diverso con el que puede satisfacer los gustos y necesidades de sus clientes, así podrá aumentar sus ventas y los ingresos que recibe. Oscar sueña con adquirir un local más grande y en una zona más comercial, en el que pueda establecer su negocio y aumentar su clientela, lo que le permitirá recibir más recursos con los que dará mejor bienestar y calidad de vida a su familia.
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.