

Kiva.org takes on world poverty with its peer-to-peer microfinance marketplace - camouchan
http://uk.intruders.tv/Premal-Shah-of-Kiva-org-on-microfinance-and-helping-poor-help-themselves_a226.html

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mynameishere
I could see doing this if there was reliable third party credit reporting and
interest rates _starting_ at 20 percent/year.

Also, how do they make money on this...just through the float? Seems like it:

 _When my business makes a repayment, can I reloan or withdraw the funds
immediately?

No. You will not be credited for your loan funds until the entire loan has
been paid back in full, at which time you may reloan or withdraw your funds._

...seems like there would be all kinds of ways to game this.

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fauigerzigerk
I gather that the recovery rate of microfinance institutions is quite high.
Grameen bank says they recover 98 %. So that means I'm going to lose 2 % on
defaults + 2 % inflation + 4 % opportunity cost (what I get for short term
funds). So I would do it for 8 % interest or consider it a donation.

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jaed
MicroPlace.com just launched the other day and apparently actually allows you
to charge a nominal interest rate so you can get a return on the loan. The
point isn't to make oodles of money off of developing world entrepreneurs, but
it is a slightly more attractive offer than Kiva's 0% interest loan. If you so
decided, the interest you generate from MicroPlace could get then go back into
another loan so the cycle continues again. Rinse, lather, repeat.

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acgourley
I really like kiva, my only complaint at this point is that there seems to be
more investment interest than loan offices on the ground to sink it. That is
ultimate a good thing of course. I wonder if there is a way to actually donate
to those loan offices. Since these loan offices could generate income (in
theory) it might even be possible to loan them money to setup the office.

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aston
I really like the site in general. Great design, great content.

But that "CAMARA CHRONICLES" kills me. Can you guys spell camera correctly,
please?

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immad
LOL. The UK version is run by Vincent Camara, its supposed to be clever :-)

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camouchan
Sorry Aston, that's my last name...our aim is to have one site per country so
we decided to personalize each edition! Thanks for your comment

