Fundraising Status:closed
Risk Rating:
What to know about this Lending Partner
Impact Category:
General Financial Inclusion
Default Rate:
0%
Currency Exchange Loss Rate:
0%
Total Loans Raised:
$7,500
Loans at Risk Rate:
0%
Kiva Borrowers:
5
Delinquency Rate:
0%
Interests and Fees:
23% PY
Kiva and FUNDECOCA have agreed to end their partnership after more than two years of $7,500 in loans raised. This Lending Partner has repaid its outstanding balance to Kiva in full, and these funds have been distributed to lenders. We thank FUNDECOCA for the years of collaboration and wish them success in their future endeavors.
Status Update - March 13, 2014
Having been a partner on Kiva for 12 months, FUNDECOCA has decided to stop posting loans while they determine if Kiva is a good fit for their lending model. They have fully repaid all of their borrower's loans and their fundraising status has been changed to "inactive." As long as they remain an inactive partner, they will not be posting new loans to Kiva. Should FUNDECOCA be in a position to restart their Kiva program in the future, Kiva would consider a status change back to active.
Partner Description:
FUNDECOCA is a nonprofit organization offering micro-lending services to unbanked farmers in remote regions of Costa Rica. Founded in 1990, it works to form and fund community credit committees (CCCs) that are located in rural areas. The organization trains these CCCs to approve and administer loans for members of their own communities.
Today, covering 14 communities, FUNDECOCA offers a diverse range of products in different sectors, including agriculture, commerce, livestock and more. It is one of very few micro-lending organizations that provides loans in northern Costa Rica. For many residents of this region, the only other option is to borrow money from an informal lender.
Kiva’s flexible, risk-tolerant capital plays a critical role in helping FUNDECOCA grow its loan portfolio and support borrowers that are generally not reached by any other financial institution. In addition, the funds are used to help the organization offer green loans, including financing for organic agriculture, alternative energy and products promoting biodiversity.
A unique lending approach:
The institution works to form and fund CCCs comprised of 5 to 7 local residents. Each committee meets twice a month to accept loan applications, make credit decisions, collect repayments and disburse new loans.
A FUNDECOCA client in the field.
Image courtesy of FUNDECOCA.