Comments on: The Power of Microcredits http://www.everyjoe.com/articles/the-power-of-microcredits/ Sports News - Tech Reviews - Entertainment - Life Tips for EveryJoe Sun, 06 Dec 2009 17:53:44 -0500 http://wordpress.org/?v=2.8.4 hourly 1 By: startupspark.com - Join the Live Talkathon for Kiva on March 18th http://www.everyjoe.com/articles/the-power-of-microcredits/comment-page-1/#comment-312393 startupspark.com - Join the Live Talkathon for Kiva on March 18th Tue, 13 Mar 2007 21:14:28 +0000 http://startupspark.com/the-power-of-microcredits/#comment-312393 [...] I’m a big supporter of the concept of microcredits or microloans — which are tiny amounts of money you loan to entrepreneurs in 3rd world countries to help them get their businesses off the ground. [...] [...] I’m a big supporter of the concept of microcredits or microloans — which are tiny amounts of money you loan to entrepreneurs in 3rd world countries to help them get their businesses off the ground. [...]

]]> By: startupspark.com - Helping Other Entrepreneurs Earn A Better Life http://www.everyjoe.com/articles/the-power-of-microcredits/comment-page-1/#comment-312136 startupspark.com - Helping Other Entrepreneurs Earn A Better Life Thu, 04 Jan 2007 20:06:38 +0000 http://startupspark.com/the-power-of-microcredits/#comment-312136 [...] After a great discussion about the power of microcredits and microloans I decided to find some worthwhile causes at Kiva.org. [...] [...] After a great discussion about the power of microcredits and microloans I decided to find some worthwhile causes at Kiva.org. [...]

]]> By: Ben Yoskovitz http://www.everyjoe.com/articles/the-power-of-microcredits/comment-page-1/#comment-311924 Ben Yoskovitz Wed, 20 Dec 2006 15:28:22 +0000 http://startupspark.com/the-power-of-microcredits/#comment-311924 Sarah - you've totally inspired me today. I'm going to look at Kiva very seriously and put my money where my mouth is. Also, please take a look at http://www.gifter.org. I'm going to see if I can reach out to the Kiva folks about getting involved. Sarah – you’ve totally inspired me today. I’m going to look at Kiva very seriously and put my money where my mouth is.

Also, please take a look at http://www.gifter.org.

I’m going to see if I can reach out to the Kiva folks about getting involved.

]]> By: Sarah Lewis http://www.everyjoe.com/articles/the-power-of-microcredits/comment-page-1/#comment-311923 Sarah Lewis Wed, 20 Dec 2006 15:23:53 +0000 http://startupspark.com/the-power-of-microcredits/#comment-311923 It's been a while since I looked into it, but if I remember correctly, the loan recipients pay a small amount of interest that funds some of the administration of the loans. Long term, I think Kiva is investigating the possibility of passing interest on to investors, but if they had to choose, I'd rather they use the interest to keep the program viable. If I want a monetary ROI, I'll put more into <a href="http://www.prosper.com/">Prosper</a>. I prefer this approach to traditional donations for a couple of reasons. First, I can monitor it, so there's built in accountability. Second, although many traditional charities do participate in microcredit, I think it's a much more effective solution than handouts, so I like to support organizations that do microcredit exclusively. There are a few drawbacks, though. One is that it takes more resources to do person-to-person loans than to do a large program with established channels. When Kiva first launched, they didn't have the infrastructure to handle the initial investor interest, and it took a while for them to better match supply and demand (they needed to partner with more organizations to identify good loan recipients on a local level). I believe in putting my money where my mouth is, so it may be revealing to mention that most of my charitable donations go to my local church for local needs, I sponsor a girl in Rwanda, and put a little money into Kiva. From that, you can conclude (accurately) that I see it as a great global solution and part of my overall efforts to make poverty history. It’s been a while since I looked into it, but if I remember correctly, the loan recipients pay a small amount of interest that funds some of the administration of the loans.

Long term, I think Kiva is investigating the possibility of passing interest on to investors, but if they had to choose, I’d rather they use the interest to keep the program viable. If I want a monetary ROI, I’ll put more into Prosper.

I prefer this approach to traditional donations for a couple of reasons. First, I can monitor it, so there’s built in accountability.

Second, although many traditional charities do participate in microcredit, I think it’s a much more effective solution than handouts, so I like to support organizations that do microcredit exclusively.

There are a few drawbacks, though. One is that it takes more resources to do person-to-person loans than to do a large program with established channels.

When Kiva first launched, they didn’t have the infrastructure to handle the initial investor interest, and it took a while for them to better match supply and demand (they needed to partner with more organizations to identify good loan recipients on a local level).

I believe in putting my money where my mouth is, so it may be revealing to mention that most of my charitable donations go to my local church for local needs, I sponsor a girl in Rwanda, and put a little money into Kiva. From that, you can conclude (accurately) that I see it as a great global solution and part of my overall efforts to make poverty history.

]]> By: Ben Yoskovitz http://www.everyjoe.com/articles/the-power-of-microcredits/comment-page-1/#comment-311921 Ben Yoskovitz Wed, 20 Dec 2006 15:03:43 +0000 http://startupspark.com/the-power-of-microcredits/#comment-311921 Sarah - that's great stuff! Do they pay it back with interest or is the loan interest free? Do you think this approach to giving works better than straight up donations to charity? Sarah – that’s great stuff!

Do they pay it back with interest or is the loan interest free?

Do you think this approach to giving works better than straight up donations to charity?

]]> By: Sarah Lewis http://www.everyjoe.com/articles/the-power-of-microcredits/comment-page-1/#comment-311920 Sarah Lewis Wed, 20 Dec 2006 14:57:29 +0000 http://startupspark.com/the-power-of-microcredits/#comment-311920 I think Kiva uses the terms "lending" and "micro-lending" more than "microcredit" which might explain their absence. I'm definitely following the progress of my loans. It contributes to the "feel good" factor and convinces me that this is one of the best ways to combat poverty. It depends somewhat on the region involved, but with most loans, regular updates are provided through journal entries and reports. For instance, see the page for <a href="http://kiva.org/app.php?page=businesses&action=about&id=153">Khadyjatou Ndiaye</a>, one of the groups I've lent money to (they've just recently repaid it). I think Kiva uses the terms “lending” and “micro-lending” more than “microcredit” which might explain their absence.

I’m definitely following the progress of my loans. It contributes to the “feel good” factor and convinces me that this is one of the best ways to combat poverty.

It depends somewhat on the region involved, but with most loans, regular updates are provided through journal entries and reports. For instance, see the page for Khadyjatou Ndiaye, one of the groups I’ve lent money to (they’ve just recently repaid it).

]]> By: Ben Yoskovitz http://www.everyjoe.com/articles/the-power-of-microcredits/comment-page-1/#comment-311919 Ben Yoskovitz Wed, 20 Dec 2006 12:09:48 +0000 http://startupspark.com/the-power-of-microcredits/#comment-311919 Sarah - I had not come across them. Odd that in a search on Google for "microcredits" they didn't show up (at least not on the front page or so, if I remember correctly.) I'm going to check out their site right now though, thanks! Are you following the progress of your loans? Getting feedback from the businesses? Helping in any other ways? Tell me more!! Sarah – I had not come across them. Odd that in a search on Google for “microcredits” they didn’t show up (at least not on the front page or so, if I remember correctly.)

I’m going to check out their site right now though, thanks!

Are you following the progress of your loans? Getting feedback from the businesses? Helping in any other ways? Tell me more!!

]]> By: Sarah Lewis http://www.everyjoe.com/articles/the-power-of-microcredits/comment-page-1/#comment-311918 Sarah Lewis Wed, 20 Dec 2006 12:07:24 +0000 http://startupspark.com/the-power-of-microcredits/#comment-311918 Hey, Ben, have you seen <a href="http://kiva.org/">Kiva</a>? They are doing this kind of thing around the world. For instance, right now I have money lent to a seamstress in Romania and two women's collectives in African countries. I am really excited about Kiva and microcredit in general. Hey, Ben, have you seen Kiva? They are doing this kind of thing around the world. For instance, right now I have money lent to a seamstress in Romania and two women’s collectives in African countries. I am really excited about Kiva and microcredit in general.

]]> By: Ben Yoskovitz http://www.everyjoe.com/articles/the-power-of-microcredits/comment-page-1/#comment-311909 Ben Yoskovitz Tue, 19 Dec 2006 01:25:08 +0000 http://startupspark.com/the-power-of-microcredits/#comment-311909 Hey Perry - thanks for the comment. I'd love to see more blogs on the subject, I'm not sure there are many great ones out there. It'd be amazing to see some blogging from people "on the ground" in places like Indonesia where microcredits are making a difference... Hey Perry – thanks for the comment. I’d love to see more blogs on the subject, I’m not sure there are many great ones out there.

It’d be amazing to see some blogging from people “on the ground” in places like Indonesia where microcredits are making a difference…

]]> By: Perry Ismangil http://www.everyjoe.com/articles/the-power-of-microcredits/comment-page-1/#comment-311908 Perry Ismangil Mon, 18 Dec 2006 23:58:43 +0000 http://startupspark.com/the-power-of-microcredits/#comment-311908 Coming from Indonesia, I was also very interested. I even started and stalled a blog about it :) Coming from Indonesia, I was also very interested. I even started and stalled a blog about it :)

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