New team: Kivans support group loans

[Guest]

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[PetraH]

I've just started this new group: Kivans support group loans


I feel that most Kivans really love the idea of lending money to a real person. The picture of this person on the website allows you to make the connection and think: Yes! I want to support this person! (Or not...).
With group loans as they are presented here on Kiva, you can make less of a connection, emotionally. However, I think that group loans can be very important. Let me mention a few reasons:

- members of a group can support one another in their businesses and personal life
- members of a group are often together responsible for paying back the loan (and therefore chances are higher that it is paid back)
- members of a group will check-up on one another to make sure everyone does their best to use the loan efficiently and pay it back on time
- members of a group don't need assets as a back-up to obtain a loan, the mutual guarantee of the group is enough. This gives poorer people a chance.
- a group will sometimes receive valuable training from the field partner
- a field partner probably has to invest less time (and money) into loaning to a group and posting the loan on Kiva, than to all people individually


Our group is about people who do support the idea of group loans and who want to put their kiva-money into it.

I would like it if there was the possibility to team up and to fund a group loan together, the advantage being that you together have more power to fund a group. You probably feel more of a connection to the group of entrepreneurs because you are part of a group yourself, and together have made a major contribution to their loan...

However, that would mean a lot of discussion (in different timezones!) before a loan could even be funded...  (And it could be "snatched away" before any consensus is reached). So I don't know whether this idea is viable...

For now... let's try it... By april 14, we could start discussing what kind of group we'd like to lend to... And when money pours in on April 15th, we could be making our first Group2Group loan...

[David2051]

Thanks for starting this team, Petra!

I'm in!   

[Brennan]

I support group loans as well, so count me in!

[PetraH]

Six members plus me... And counting.
Also: seven loans made already  ... Hurrah!

Petra

[PetraH]

Hi, all....

Refunds are coming in tomorrow; and I proposed previously that we would, as a group, support a group of lenders. I have spent some time on Kiva just now and have selected four groups that we could support.
I also now added one group that was already supported by Diane. I chose this group because it still needs a sufficiently large amount of money, so that we can all participate if we want.

Here are the details:

Country	Group	Still needed	Repaid by	CR*	Default protection**	Field partner***	Remarks
Peru	Mujeres Emprendedoras	$1275	Sept 2010		not covered	43% / 3
Peru	San Rafael Group	$3600	Oct 2010		not covered	43% / 3
Mexico	Tezoapan Group	$1750	Sept 2010		not covered	76% / 4	Diana already loaned
Cambodia	Mr. San Va Village Bank Group	$1500	May 2011	yes	not covered	37% /5
Philippines	Malicse's Group	$900	Dec 2010	yes	not covered	43% /3

* CR: currency risk: the loan is not paid in dollars, and therefore money could be lost when the exchange rate is different at the time of lending and the time of repaying.
** Default protection: is present when a field partner will repay the loan when the entrepreneurs cannot, for some reason.
*** Field partner: Shows portfolio yield (the percentage) plus field partner risk.
About the portfolio yield: please find the definition at the kiva site; but in short this tells a bit about what interest rates (and other costs) entrepreneurs have to pay. Lower is better, IMHO...
About the field partner risk: goes from 1 to 5; 5 is the best rating with the lowest risk for us.



Please help me pick and choose... Or bring your own favourite group along!

Petra

[alan]

I'm already on Mujeres Emprendadoras, though I'm afraid I credited it to LLL. But San Rafael is on my wish list already, and will be credited to this team regardless. So I guess that's my vote.

[cats]

San Rafael looks good to me as well

[PetraH]

I got a message from Alexandra that she will join the San Rafael loan as well...

Let's wait for a couple of hours more to see if we can all agree on this?
(You Americans are probably sleeping now like a rock / block of wood / innocent lamb...)

Petra

[donaji]

San Rafael is fine with me also.

Miji

[PetraH]

I got another message from our new member Nancy who also is in favor of the San Rafael group.

So let's say it's decided: The San Rafael group it is!

http://www.kiva.org/lend/187376

Petra