Help team FSM raise $100k on kiva

Published July 21st, 2009 by Bobby Henderson

Team FSM on kiva.org is now the top religious congregation. We’ve got almost 500 members on our team and we’ve lent out over $70k.

We’re trying to raise $100k by the end of the summer. Would you take a minute and check out the site and consider joining our team?

Kiva is a non-profit micro-lending institution primarily for the developing world. Typical loan requests are like, $1000 for some cows in Vietnam, or $1500 to open a shop in Cambodia. You choose which of the loans appeal to you, and donate a small amount, usually $25. When the loan is fully funded, 100% of the funds go to the borrower. They pay it back over time without interest. The money comes back to your account and you can take it or loan it out again (I suspect most of us re-loan).

Team FSM has so far provided more than 2100 micro-loans.

Our team page is here. Please take a look and see what you think.

Some example loans:

Please help us hit $100k.

11 Responses to “Help team FSM raise $100k on kiva”

  1. zinc alloy says:

    Although we as lenders recieve no interest on our loan, interest is charged to the borrower on the ground.
    Apparently this interest is a fair bit lower than they would be charged by local lenders.

    The interest free bit is therefore decieving.

    If you are uncomfortable about it you can check out the interest charged on each loan before you donate and choose loans with lower interest charged.

    It’s worth having a look anyway.

    Personally I love Kiva. I’ve only made 5 loans and as money is a bit tight it’s harder than normal to make the amount I want to but I do intend to add one or two more by the end of the summer.

  2. @Marmot says:

    Charging interest to entrepreneurs is necessary for microfinance institutions to achieve sustainability.
    Microfinance is an expensive business, which is essentially the reason small loans are not provided by large banks. The nature of microcredit “small loans ” is such that interest rates need to be high to return the cost of the loan. While Kiva’s Field Partners do not bear the cost of capital or the cost of default, they do bear transaction costs and some currency risk. Charging interest to entrepreneurs enables our Field Partners to bear these costs and achieve self-sustainability.

  3. Marmot says:

    Ah, thanks for the explanation. I browsed some more and saw that you really can see all those details about field partners. It probably is an unavoidable thing and still doesn’t detract from the “interest-free” core of the project.

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