Olivia, 55, has worked in her store for the last 17 years; she sells basic staples. Her main inconvenience is health problems which sometimes keep her from opening her store leading to monetary losses. Her greatest dream is to be able to expand the business and increase sales levels, to hire an employee and to take a vacation. It’s clear to her that to accomplish this she must continue to work hard and for the moment it’s impossible for her to hire anyone because profits are low.
She’s currently requesting a loan to buy a stock of the items her customers most frequently request. She hopes sales will improve because that’s what her economic stability and her 16-year-old son’s education and well-being depend on.
Oliva tiene 55 años de edad, y desde hace 17 años labora en su tienda, en donde comercializa productos de la canasta familiar. Su principal inconveniente son sus problemas de salud que en ocasiones le impiden abrir su negocio, generándole pérdidas monetarias. Su mayor sueño es poder ampliar su negocio e incrementar su nivel de ventas, contratar un empleado y gozar de unas vacaciones. Tiene claro que para lograrlo es necesario seguir trabajando fuertemente y por el momento le es imposible contratar una persona porque la rentabilidad es muy baja.
En la actualidad se encuentra solicitando un crédito que invertirá en la compra de surtido que le solicitan con frecuencia sus clientes. Espera que sus ventas mejoren, porque de ello depende su estabilidad económica, la educación y bienestar de su hijo de 16 años de edad.
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.