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s_shewan
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« on: July 08, 2009, 05:44:25 PM » |
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Just had the founder of this organization start following me on twitter ( http://twitter.com/bhalchander ) ......I think they picked up on my Kiva tweets....  http://www.unitedprosperity.org/Looks like they are working with one MFI at the moment....in India. Has anyone heard of them? Made any loans? Susan |
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« Last Edit: July 08, 2009, 05:46:47 PM by s_shewan »
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Jan & John
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« Reply To This #1 on: July 08, 2009, 10:14:35 PM » |
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Interesting, Susan, thanks. I think BETA means they are just starting/testing?  I loaned $25 a while ago to the Vittana Foundation and I'm still wondering about them... and now I'm wondering why Kiva has not partnered with the Ajiwika Society in India? United Prosperity appears to be a Kiva Klone, pretty colours. I find I must have placed my trust in Kiva... I like green. and I'm not so sure about a new place to lend. hmmmm jan - and once again it's still only a charitable receipt in the US. |
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"The place God calls you to is the place where your deepest gladness and the world's deepest hunger meet" - Fredrick Buechner (in Wishful Thinking). "Every child should be well born, well fed, well taught, well housed and well treated." Maude Riley, Alberta Council on Child and Family Welfare 1923 "Each of us feels that we are just a drop in the ocean, but the ocean would be less without that missing drop." --Mother Teresa 1 click per person per day on this link means 1 additional cent for the Fistula Foundation - thanks! |
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DoubleR
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« Reply To This #2 on: July 09, 2009, 02:01:02 AM » |
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There's a subtle difference between Kiva and United Prosperity.
On United Prosperity, you are not funding the loan itself but providing the collateral (loan guarantee) for a group to obtain a loan. Your "contribution" (I'm using the term loosely) has a greater impact because the group becomes eligible for a larger loan, almost double the amount of the collateral raised.
When the loan is repaid, the collateral is returned to you. You have the option to reclaim it or apply it toward another loan guarantee. If the loan defaults, the collateral goes to the MFI. Also, there is no minimum contribution toward a loan guarantee. I've seen other guarantors contribute as little as $4 or $5 USD.
I joined in on one of the loan guarantees just to try it out. Most of the loans on UP range from 1 to 1 1/2 years, so most of my lending resources will remain with Kiva since I can help more borrowers through short term loans. However, it's great to have an option available to help borrowers in India.
Jan - Kiva does not have field partners in India because of the regulation of money flowing in and out of its banking system (in order to repay Kiva lenders). They have been working with the Indian government to get those restrictions lifted, but there has been little progress. UP does not face this problem because money flows one way and it only happens if the loan defaults. Also, loan guarantees (like Kiva loans) are not subject to charitable deduction since you get your money back if the loan is repaid. However, donations made directly to UP for its operational expenses are a charitable expense.
And another UP benefit - loan guarantees do not carry currency exchange risk.
Regards,
Ronan
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Jan & John
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« Reply To This #3 on: July 09, 2009, 10:45:40 AM » |
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Thanks, Ronan I wondered about the 'guarantee' as opposed to lending... guess I didn't go into the site far enough. someday... when I have more time... yeah right  jan |
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"The place God calls you to is the place where your deepest gladness and the world's deepest hunger meet" - Fredrick Buechner (in Wishful Thinking). "Every child should be well born, well fed, well taught, well housed and well treated." Maude Riley, Alberta Council on Child and Family Welfare 1923 "Each of us feels that we are just a drop in the ocean, but the ocean would be less without that missing drop." --Mother Teresa 1 click per person per day on this link means 1 additional cent for the Fistula Foundation - thanks! |
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JohnR
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« Reply To This #4 on: July 09, 2009, 12:21:16 PM » |
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Jan, I hadn't heard of Vittana before; thanks for the tip and link. For what it's worth, their loans involve currency risk. Risks include but are not limited to:
Bankruptcy or fraud at MFI
Currency devaluation
Political instability I didn't see any specifics about it, though, like the MFI retains the first 20%. I'm guessing the lender would take on the entire risk. I'm also confused because they say you loan the money, the kid goes to school, when he graduates he gets a job and pays you back. That sounds like a process that could take several years. But the one example I popped open clearly said the term of the loan was 12 months. http://www.vittana.org/students/david-antonio-adorno-arriola/asuncion/paraguay/2John |
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Looking for serenity you have come to the monestary.
Looking for serenity I am leaving the monestary.
Soen Nakagawa
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Jan & John
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« Reply To This #5 on: July 09, 2009, 04:50:08 PM » |
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Jan, I hadn't heard of Vittana before; thanks for the tip and link. For what it's worth, their loans involve currency risk. I didn't see any specifics about it, though, like the MFI retains the first 20%. I'm guessing the lender would take on the entire risk. I'm also confused because they say you loan the money, the kid goes to school, when he graduates he gets a job and pays you back. That sounds like a process that could take several years. But the one example I popped open clearly said the term of the loan was 12 months. http://www.vittana.org/students/david-antonio-adorno-arriola/asuncion/paraguay/2John Vittana is up and running but they haven't yet *officially* gone public. Questions and suggestions emailed to them get an immediate response. Basically, there is still much to do. The last email I got from them encouraged us to remain in 'wait and see' mode and asked us those of us interested *not* to be tweeting or facebooking or whatever just yet I used it as an example here because United Prosperity initially felt much the same and KF has become a place where other people know the answer:) Makes me think we are going to see more and more of this type of opportunity being offered. I want to be involved and helpful but at the same time I don't want to be gullible and lose what small amounts I have invested. jan |
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"The place God calls you to is the place where your deepest gladness and the world's deepest hunger meet" - Fredrick Buechner (in Wishful Thinking). "Every child should be well born, well fed, well taught, well housed and well treated." Maude Riley, Alberta Council on Child and Family Welfare 1923 "Each of us feels that we are just a drop in the ocean, but the ocean would be less without that missing drop." --Mother Teresa 1 click per person per day on this link means 1 additional cent for the Fistula Foundation - thanks! |
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DoubleR
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« Reply To This #6 on: July 09, 2009, 05:16:49 PM » |
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Makes me think we are going to see more and more of this type of opportunity being offered. I want to be involved and helpful but at the same time I don't want to be gullible and lose what small amounts I have invested.
I agree completely Jan. Best to err on the side of caution. One of the interns at United Prosperity just started following me on Twitter and she sent me a link to the UP Discussion Forum: http://unitedprosperity.ning.com/forumHmmm....looks a lot like KivaFriends to me! One of the discussion questions was: "What makes a good entrepreneur profile? What makes you want to lend to a group of entrepreneurs? Share the things you like to see in entrepreneur profiles!" Looks like they're being proactive in getting input from users to make their site better. Now I need to go share with them the details I like to see when looking at a Kiva loan profile.... Regards, Ronan |
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steerpike
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« Reply To This #7 on: July 20, 2009, 05:50:03 AM » |
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I took the plunge yesterday and guaranteed 4 loans. The idea is a good one as the bank does the lending, not me and my guarantee does not cover the whole loan so there is a local bank to look after my loan. There is also leverage as the local banks are funding as well as overseas lenders. The other advantage I see is a credit history being established locally so a poor borrower may not need a guarantee next time. It feels like a Third World led initiative using Third World banks to solve a Third World problem. On the down side - not really a track record. I think it will grow. |
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Skimmis
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« Reply To This #9 on: December 07, 2009, 11:07:21 AM » |
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