Tuesday, February 10, 2009

Kiva- loans that change lives

I want to tell you about this really awesome website Kiva.org

Kiva.org is all about microfinance. Microfinance is a really cool way to lend money. You lend a small amount of money, usually under $100, and that is combined with loans from others and then once the total is raised, the loan is giving to someone in a poor country. With Kiva.org, the smallest amount you can lend is $25.

What I am thinking about doing is lending $25 a month to a different entrepreneur. Then as the loans start to be repaid, I will reinvest that money in someone else. There is no financial gain for the lender because all the money you loan is paid back without interest. I think that helping someone buy a goat for milk or bags for onions, just to help them is far more rewarding then making a 4% return on $25.

I hope that you will check out Kiva.org and check back here for updates on the entrepreneurs that we decide to loan to.

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