John, 42, worked for four years in partnership with his friends in various local butcher shops. A year ago he decided to become independent and start his own business selling meat, vegetables and eggs. Thanks to his work he’s been able to provide his 5-year-old son with an improved quality of life and better opportunities. He dreams with continuing growing and turning his business into number one which is what has propelled him to request a loan to buy a freezer, cold-cuts and dairy products in order to increase his line of products and insure better service for his community.
John de 42 años de edad, laboró durante cuatro años en conjunto con sus amigos en diferentes carnicerías de su localidad. Desde hace un año decidió independizarse y crear su propio negocio dedicado a la comercialización de carne, venta de legumbres y huevos. Gracias a su labor ha podido ofrecerle a su hijo de cinco años una mejor calidad de vida y mejores oportunidades. Sueña con seguir creciendo y convertir su negocio el número uno, razón que lo ha impulsado a solicitar un crédito que invertirá en la compra de un congelador, carnes frías y lácteos, con el fin aumentar su línea de productos y garantizar un mejor servicio a su comunidad.
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.