Kiva conducts regular, ongoing monitoring of all Field Partners, but only posts status updates here in response to relevant, major changes at the partner.

About MíCrédito

MíCrédito services a growing urban market for micro-loans in Nicaragua. At the same time, MiCrédito is developing a rural clientele, with loan terms tailored to farmers. MiCrédito reaches out to borrowers by word-of-mouth advertising based on the strong reputation of its well-known credit officers. MíCrédito treats its clients with respect and offers them excellent service, both in the office and in the field. This microfinance institution’s success so far has been due to its ability to offer quick credit decisions and competitive interest rates. Find out more about MíCrédito by visiting its website.

MíCrédito’s Values

  • Compromise      
  • Innovation         
  • Honesty             
  • Respect              
  • Transparency       
  • Discipline          
  • Responsibility    
  • Ethics                
  • Loyalty

MíCrédito’s Vision 

MíCrédito’s vision is to establish a profitable and sustainable financial institution in Nicaragua, with national coverage in key locations, in order to serve small urban and rural businesses and producers. MiCredito plans to provide at least 60% of its loan portfolio to rural borrower’s and hopes to become one of the top ten unregulated micro-finance institutions by portfolio size in Nicaragua by 2012.  


MíCrédito Kiva Student Loans

Just outside of Estelí, three hours north of Managua, you can find the Catholic University of Dry Tropic Farming and Livestock. In October 2010, MíCrédito and Kiva disbursed their first low-interest student loans at the school. 

There is a wealth of land resources in Nicaragua, and these loans enable the students to realize there is opportunity in rural areas and not only in the big cities.  In the first two projects, the students used their loans to cultivate cabbage, and produce dairy products, that were then sold on campus.
By putting into practice what they have learned in the classroom, the students must understand how to use credit well to be successful and avoid becoming over-indebted. This lesson is crucial for the next generation of entrepreneurs in Nicaragua. 

In the future, MiCrédito would like to replicate the student loan program in other parts of the country, and hope to make it sustainable, so it will have a social impact on the next generation.  

Avoiding Over-Indebtedness and Delinquency
  • At MiCredito, every borrower is checked against two credit bureaus, TransUnion and SinRiesgo, for outstanding debt, including loans taken out for cars, store merchandise, and any loans from other microfinance institutions.
  • The guarantor of the loan is also checked for outstanding debt.
  • The borrower must have been in their business for at least a year.
  • The borrower must have a national identification card.
  • The borrower must have a guarantor.
  • The borrower must have collateral (e.g. cow, refrigerator, sewing machine, etc.) equal to the amount of the loan. 
Innovative Technology in the Field

Recently MiCredito has started a new marketing campaign. Their desire to be more professional and innovative has resulted in the launch of a new product called “Mobile Consultation.” The goal is to increase speed and agility with which they evaluate potential clients while still working with one of the most prestigious credit risk evaluation companies, called TransUnion. TransUnion is dedicated to developing and offering services designed to achieve excellence, and in this way MiCredito can better understand risk and their relationships with clients and consumers so as to better manage credit distribution.

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Veronica Herrera, Executive Director of MiCredito says, “the goal is to reach more entrepreneurs and offer them better service in rural and urban zones. MiCredito is the first microfinance institution in Nicaragua using this mobile communication technology to enhance credit services, and it will be a great benefit to underserved sectors.”


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Javier Gomez, Microfinance Consultant for TransUnion

Javier Gomez, a microfinance consultant for TransUnion says, “TransUnion is the world leader in this field, and with experience in over 50 countries, enables practices in its associate countries to improve the mechanisms of loan placement, new product launches, and in this case using data enabled telephone devices to make consultations. MiCredito’s need to enhance their different products coincided with TransUnion’s recent launch of Mobil Consultation, and it is the first microfinance institution in Nicaragua to work with their clients in such an efficient way, allowing loans to be approved within 24 hours and without a guarantor.”

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Loan officer Dayana Bravo says, “In my opinion the use of phones for mobile consultations makes my work much easier. With this technology I will only have to visit the client, check the Internet through the phone, verify the client’s credit history, evaluate it, and done! I already have one new client in my portfolio.”

With this innovation that MiCredito has developed, loan officers are more productive, efficient and effective when addressing client needs. 

Update from Kiva Staff on July 7, 2011:

In recent years, the "No Pago" movement (a movement for non-repayment of loans) has created concern around the increased risk of loan non-repayment by Kiva borrowers in Nicaragua. As a result, last year Kiva posted a loan alert on Nicaraguan loans, warning lenders about the potential risks of lending to entrepreneurs in Nicaragua. Earlier this month though, the government passed a new microfinance law that has addressed many of these concerns. As a result, the situation appears to have resolved itself and the "No Pago" loan alert is being removed.

How To Support MíCrédito

Please make a loan to one of MíCrédito’s borrowers here.  

Please join our Kiva lending team here

Repayment Performance on Kiva

    This Field Partner All Kiva Partners
  Start Date On Kiva Dec 1, 2010 Oct 12, 2005
Total Loans $1,947,550 $644,173,450
Amount of raised Inactive loans $0 $908,375
Number of raised Inactive loans 0 802
Amount of Paying Back Loans $466,075 $125,991,400
Number of Paying Back Loans 579 138,812
Amount of Ended Loans $1,481,475 $517,273,675
Number of Ended Loans 2,441 648,265
Delinquency Rate 0.42% 4.70%
Amount in Arrears $1,439 $3,887,610
Outstanding Portfolio $340,150 $82,655,376
Number of loanDelinquent 9 15,483
Default Rate 0.52% 1.10%
Amount of Ended Loans Defaulted $7,692 $5,692,370
Amount of Ended Loans $1,481,475 $517,273,675
Number of Ended Loans Defaulted 24 17,485
Currency Exchange Loss Rate 0.00% 0.12%
Amount of Currency Exchange Loss $0 $783,507
Refund Rate 0.19% 0.71%
Amount of Refunded Loans $3,700 $4,605,450
Number of Refunded Loans 5 5,145

Loan Characteristics On Kiva

    This Field Partner All Kiva Partners
  Loans to Women Borrowers 60.61% 74.17%
Average Loan Size $645 $418
Average Individual Loan Size $645 $655
Average Group Loan Size $0 $1,840
Average number of borrowers per group 0 8
Average GDP per capita (PPP) in local country $3,636 $3,405
Average Loan Size / GDP per capita (PPP) 17.74% 12.26%
Average Time to Fund a Loan 10.01 days 5.96 days
Average Dollars Raised Per Day Per Loan $64.46 $70.01
  Average Loan Term 10.82 months 10.58 months

Journaling Performance on Kiva

    This Field Partner All Kiva Partners
  Total Journals 986 320,387
  Journaling Rate 28.57% 42.09%
  Average Number of Comments Per Journal 0.01 0.07
  Average Number of Recommendations Per Journal 0.01 1.73

Borrowing Cost Comparison (based on 2013 data)

    This Field Partner Median for MFI's in Country All Kiva Partners
  Average Cost to Borrower 39% PY 27.00% PY 33.02% PY
  Profitability (return on assets) 5.1% 0.9% -0.69%
  Average Loan Size (% of per capita income) 95.40% 40.00% 36.66%

Country Fast Facts

Field Partner Staff

Itzayana Escobar
Veronica Herrera
Shirley Irias
Lyann Urbina
Catherine Walker