Pedro is a humble and simple man, and is requesting this loan to strengthen his business and to improve his working conditions.
He is 52 years old and has worked for 25 years as an self-employed street vendor selling goods from place to place. He sells coffee, baked goods and cigarettes, which he carries on his back in a wicker basket – which can weigh up to 20 kilos. He sells his goods walking through the different streets and neighborhoods of Envigado and Sabaneta [municipalities in the Medellín Metropolitan Area]. He earns his living this way and is able to meet his basic personal expenses.
He will buy a tricycle, more thermos containers, and supplies such as coffee, sugar, disposable cups and baked goods. This will make getting from place to place easier for him, and it will also increase his production capacity, so that he can meet his current demand and improve his income.
Pedro’s medium-term goal is to better establish his business’s reputation so that he can be more competitive and start to work in other areas. He hopes to sell a larger quantity of products and to improve his quality of life with the income he receives.
Pedro es un hombre humilde y sencillo de 52 años de edad, 25 de ellos los ha dedicado a trabajar de manera independiente como vendedor ambulante; ofrece café, productos de panadería y cigarrillos, estos artículos los carga sobre su espalda, en un canastillo que puede alcanzar un peso de 20 kilos y así, va caminando por las diferentes calles y barrios del Envigado y Sabaneta; de esta manera se ha ganado la vida para solventar los gastos básicos personales.
El propósito con el crédito es fortalecer su labor y mejorar las condiciones de trabajo, pues comprará un triciclo, más termos e insumos (café, azúcar, vasos desechables, productos de panadería, entre otros); esto le permitirá facilitar el transporte y además aumentará la capacidad de producción para satisfacer la demanda actual que posee y mejorar los ingresos.
Pedro tiene como meta a mediano plazo, acreditar mejor su negocio para ser más competente y poder comenzar a trabajar en otras zonas, así podrá vender mayor cantidad de productos y con los recursos que percibe podrá mejorar su calidad de vida.
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.