September 11, 2011

As part of an ongoing effort to fully migrate risk ratings to our new and enhanced risk rating system, Kiva has conducted a re-assessment of the level of risk posed by this institution.

During this re-assessment, our analysts were able to gather updated operational and financial information about the institution, as well as speak with key members of the staff. 

Kiva's new risk rating system, which now includes half stars, has enabled us to display Credituyo's risk rating with a higher level of granularity. As a result, Credituyo's risk rating will now be displayed as 2.5 stars instead of 2 stars. 

We have prepared a blog post with more information on Kiva's new and enhanced risk rating system, along with a chart showing the relative magnitude of the overall changes for Kiva's portfolio.  To view that, please go here: http://www.kiva.org/updates/kiva/2011/09/07/kiva-risk-ratings-now-with-half-stars.html.

Credituyo has been informed of the change in the display of their rating on Kiva's website.

Partner Description

Kiva’s partnership with Credituyo replaces the partnership with Fundacion para la Vividenda Progresiva (FVP). In early 2010 Credituyo merged with FVP, a microfinance institution that was founded in 2002 to help improve the quality of life of the working poor in the northern border region of Mexico. At the time, FVP had been a Kiva partner for over four years and had funded $1.6M to 2,550 entrepreneurs through Kiva.

After the merger of FVP and Credituyo, Kiva conducted on-site due diligence on the new merged entity. The risk rating given to the merged entity was 2 stars, compared to a 3 star rating given to FVP when they started working with Kiva in 2006. This is due to an improvement in the current risk model that looks at more criteria, compared to the one used to evaluate FVP in 2006. (Credituyo's risk rating has since improved to 3 stars under the new risk model.)

With the acquisition of FVP, Credituyo now has seven branches in the cities of Monterrey, Apodaca, Guadalupe, Villa de Juarez, Nuevo Laredo, Piedras Negras and Ciudad Acuña. Credituyo will continue to fund loans for housing in the border region through Kiva, and will utilize Kiva to fund other innovative projects, such as green loans and loans for start-up businesses.

Credituyo is a microfinance institution that provides financial access and education to micro entrepreneurs and local families in Mexico with a social and commercial mission.

Credituyo was created in the city of Monterrey, under Mexican law as Servicios Financieros de Desarrollo Comunitario, S.A. de C.V. SOFOM ENR in 2006. Credituyo’s objective is to offer best-in-class financial services to Mexican families that do not have access to formal banking services.

Mission

We provide financial services and education to drive social, economic, and environmental development in our communities.

Vision

We shall be the best financial services institution in the communities where we operate:

  • As a result of our social awareness and responsibility
  • Because we improve the quality of life of our clients
  • Because our commitment to our employees' wellbeing and self-realization.
  • Because of adequate and sustainable returns for our investors.

Credituyo has adapted and continues to adapt to the needs of an evolving microfinance market by providing loans for micro and small businesses, entrepreneurs, education, and home improvement. In addition, Credituyo offers voluntary micro life-insurance policies and free financial education. The loans are given to individual small business owners and to solidarity groups of 6 to 15 women.


Kiva HelpRepayment Performance on Kiva

    This Field Partner All Kiva Partners
  Start Date On Kiva Oct 2, 2006 Oct 12, 2005
Total Loans $2,344,325 $280,713,025
Amount of Raised Inactive Loans $0 $10,525
Number Of Raised Inactive Loans 0 17
Amount of Paying Back Loans $602,400 $76,564,275
Number Of Paying Back Loans 1,047 92,262
Amount of Ended Loans $1,741,925 $204,138,225
Number Of Ended Loans 2,678 280,125
Delinquency Rate 4.04% 2.45%
Amount In Arrears $16,806 $1,254,316
Outstanding Portfolio $415,955 $51,149,836
Number of Loans Delinquent 155 11,545
Default Rate 0.90% 1.12%
Amount of Ended Loans Defaulted $15,669 $2,280,201
Amount of Ended Loans $1,741,925 $204,138,225
Number Of Ended Loans Defaulted 69 6,779
Currency Exchange Loss Rate 0.00% 0.00%
Amount of Currency Exchange Loss $3 $12,824
Refund Rate 0.92% 1.24%
Amount of Refunded Loans $21,600 $3,477,150
Number Of Refunded Loans 38 4,129

Kiva HelpLoan Characteristics On Kiva

    This Field Partner All Kiva Partners
  Loans To Women Entrepreneurs 50.89% 74.90%
Average Loan Size $589 $389
Average Individual Loan Size $615 $618
Average Group Loan Size $1,817 $1,631
Average Number Of Entrepreneurs Per Group 6.8 8
Average GDP Per Capita (PPP) in Local Country $11,249 $3,402
Average Loan Size / GDP Per Capita (PPP) 5.24% 11.42%
Average Time To Fund A Loan 3.45 days 3.96 days
Average Dollars Raised Per Day Per Loan $171.05 $98.13
  Average Loan Term 10.43 months 9.26 months

Kiva HelpJournaling Performance on Kiva

    This Field Partner All Kiva Partners
  Total Journals 246 131,404
  Journaling Rate 8.20% 39.40%
  Average Number Of Comments Per Journal 0.19 0.16
  Average Number Of Recommendations Per Journal 15.57 4.21

Kiva HelpBorrowing Cost Comparison (based on 2009 data)

    This Field Partner Median for MFI Peers in Country All Kiva Partners
  Average Interest Rate and Fees Borrowers Pay (Portfolio Yield) 85.90% 73.30% 36.11%
  Average Partner Return On Assets (Average Profitability) -16.99% 2.3% -1.45%
  Average Loan Size (% of Per Capita Income) 6.05% 4.20% 43.69%

Kiva HelpCountry Fast Facts

Field Partner Staff

Dulce Carolina Amador
Valentino Arredondo
Alfonso Caro-Silva
Isabel Cortes
David Cuevas
Emmelinne De La Rosa
Fernando Garza
Alma Gonzalez
Andres Gonzalez
Karina Gonzalez
Ricardo Gonzalez
Grethel Guerrero
Myriam Hernández
Jorge Herrera
Raul Ibarra
Alfredo Lara
Daniel Omar Leal
Sandra Lopez
Mario Madrigal
Claudia Martinez
Eduardo Martinez
Edna Martinez Garcia
Brenda Medina
Crisol Montero
Evelyn Montes
Nahieli Moreno
Xintia Olivares
Jesus Ortega
Eric Omar Pantoja Donias
María Del Refugio Peinado
Francisco Perales
ANA BELEN PUENTE RODRIGUEZ
Manuel Rodriguez
Amanda Saraí Rodríguez
Zaira Serrano
Sully Coral Solis Martinez
Sandra Ileana Valdes
Gabriel Vázquez
Marisol Victoria
Maria Cruz Zavala Garcia