Luz Marina, 50, is an entrepreneur who wants to start her own business making arepas [a flat, round, unleavened patty made of cornmeal or flour which can be grilled, baked, boiled, or fried] to sell; she will buy it from a friend. Years ago Luz Marina worked with her family in an arepa business so she has experience in this line of work. Luz Marina wants to buy the essentials needed to set up an arepa factory which consists of two grills, a gas stove, two large pots, a mill and a motorcycle for home deliveries. With this Luz Marina will improve her family’s quality of life.
La señora Luz Marina a sus 50 años de edad, es una emprendedora, quien desea iniciar un negocio de producción y venta de arepas, el cual le comprará a una amiga. La señora Luz Marina años atrás trabajó con su familia en un negocio de arepas, por lo cual cuenta con experiencia en este oficio. La señora Luz Marina desea comprar el montaje de la fábrica de arepas compuesto por dos asadores, un fogón de gas, dos ollas grandes, un molino, y una moto para los domicilios. Con lo anterior la señora Luz Marina mejoraría la calidad de vida de su familia.
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.