Moderator: American AAdvantage
Join Date: May 2000
Location: NorCal - SMF area
Programs: AA LT Plat; HH LT Diamond, Maître-plongeur des Muccis
Posts: 62,948
In 1,088 loans totaling $28,980.00 I’ve had $69.48 in currency losses and $740.79 in defaulted loans. I tend to make occasional loans with higher risks but high returns if the borrower succeeds. E.g. I knew lending to a furniture rebuilder in Nairobi’s Kibera neighborhood was risky due to instability and possibility of uprising, and unfortunately that’s what occurred. The borrower paid back part of the loan, but Kibera exploded into disorder.
I’m okay with that, honestly. And I’m glad Kiva has organized the technology at this end, the connections with local micro lenders at the other, and I believe they’ve aspired to keep that end clean. But I’ve been many places the micros operate, and in some cronyism, corruption, etc. are powerful streams they’re fighting in their up current swim.