MyC4 - Do any KivaFriends loan there?

[Guest]

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[ej]

The MyC4 website is still new, and subject to improvement.

MyC4.com is a micro-loan website where you can make small loans to people in Africa.
You see a picture of the person requesting a loan and there is a description of the business that the loan will help. Sorta-kinda like Kiva.org.
MyC4 is based in Denmark. Europeans can invest in these loan "opportunities," receive interest on the money invested, and withdraw the funds, (after and assuming the loan is repaid).  The loans have a desired top interest rate. Lenders bid on the loans, choosing the interest rate they want to receive, rather like at Prosper.com. The loans are not funded unless the borrowers interest rate is met, but often the interest rate is bid down below that minimum, which is nice for the borrower. MyC4 works with finance partners to find and manage the loans, but this platform is for profit.

Americans can participate in MyC4, but basically you give away the money that you want to loan to MyC4. You cannot withdraw it, and the money is not considered a charitable donation.

I doubt that MyC4 will attract lots of American investors because of the no withdrawal of funds hurdle.
The fact that Europeans cannot only withdraw funds, but actually get interest while Americans cannot, will seem "unfair" to Americans, and, I think, keep many otherwise interested people away.
A lender has to buy loaning "credits." These are sold in Euros, and transaction fees are charged, so the amount an American pays for a "credit" is more than a European pays. (Non-Americans also must pay currency conversion fees to get dollars to loan on Kiva). PayPal or a credit card company is also making a profit, reducing the amount of actual money getting to the borrower from you, unlike at Kiva were 100% of what you loan goes to the borrower.

MyC4 seems to be a good place for Europeans to make loans to entrepreneurs in the developing world.

I have bid on loans there, and have found it fun to do partially because there is the little bit of challenge to increase the total amount you have for investing with the interest that comes in, besides the idea of helping someone across the world with a small loan.
But Kiva is my first love.

I am wondering if any other KivaFriends, especially Europeans, have made loans on MyC4 and what they think of it.

[wind5001]

ej,

thanks for pointing this out. I had never heard of myc4 before. I checked it out at a glance. Since I am not opposed in general to charging some interest, it might be worth a try. Also, I like that they credit your account with each single repayment.

Will let you know whether I tried and of the outcomes...