I have never heard it described as such, but yes. I knew you guys would laugh! God dammit
Oh I'm not laughing, just lamenting.
I'm so sorry.
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Munkus BeaverYou don't have to attend every argument you are invited to.Philosophy: Stoicism. Politics: Democratic SocialistRegistered User, ClubPAregular
edited July 2009
SETO KIVA?!?!
Munkus Beaver on
Humor can be dissected as a frog can, but dies in the process.
marty_0001I am a fileand you put documents in meRegistered Userregular
edited July 2009
Hmm I wonder what people will think of our team name... If you look at it objectively then a group called "Social Entropy" would probably not be associated with helping poor people.
They can only work in certain countries by using pre-existing banks. Can you imagine what it'd take to set up as a financial institution in Tajikistan?
These banks will only participate if they'll make something off it. Kiva makes it worth their while to extend these loans in the first place and encourages them, through risk mitigation and the promise of future business, to provide much lower rates than they would otherwise. Seriously, interest in developing countries is a bitch.
Kiva is some pretty excellent doings. I've been involved with them for just over a year and a half, and have gotten all of my first and so far most of my second loans repaid.
It's so much better than regular donations for so many reasons. I may be doing my senior thesis on Kiva.
Sorry but all you are doing is providing capital to lenders that turn around and lend your money out at usurious rates (15% to 20% and higher is what the Kiva lenders usually lend at). The lenders make the profit and you are the one taking all the risk. There are microlending sites that are actual banks and allow you to collect interest on your loans. Use one of those not this giant scam.
Sorry but all you are doing is providing capital to lenders that turn around and lend your money out at usurious rates (15% to 20% and higher is what the Kiva lenders usually lend at). The lenders make the profit and you are the one taking all the risk. There are microlending sites that are actual banks and allow you to collect interest on your loans. Use one of those not this giant scam.
I'm sorry, you need to separate "scam" and "charitable organization" in your personal mental dictionary.
Sorry but all you are doing is providing capital to lenders that turn around and lend your money out at usurious rates (15% to 20% and higher is what the Kiva lenders usually lend at). The lenders make the profit and you are the one taking all the risk. There are microlending sites that are actual banks and allow you to collect interest on your loans. Use one of those not this giant scam.
I'm sorry, you need to separate "scam" and "charitable organization" in your personal mental dictionary.
Sorry giving my money to a bank so it can lend said money out at usurious rates and I get absolutely nothing in return except I get to assume the repayment risk? Sorry but that's not charity. Charity is if I 'give' the person the money for their project. Maybe ask them to pay it back with 0% interest. Charity is not giving my money to AMK so they can lend the money to someone and force them to pay 30% interest on the repayment.
I would be fully supportive of a charity site that gave money and asked for repayment at 0% interest or just enough interest to cover operating costs.
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AntimatterDevo Was RightGates of SteelRegistered Userregular
I would be fully supportive of a charity site that gave money and asked for repayment at 0% interest or just enough interest to cover operating costs.
Which is exactly what Kiva does. They're operating in places where the normal interest rate is absolutely prohibitive for most people to get a decent loan.
A major part of the Kiva mission is to promote education in the field of entrepreneurship. If they just gave out money/gave out "pseudo-loans" with no interest, they wouldn't be teaching a thing about how businesses are operated.
scrooge mcduck would never loan money out at a 0% interest rate
The capitalist pig side of me is bothered by this fact. It cries, "Why would I lend money with no return on my investment?"
The philanthropist side of me retorts, "It is not a profitable venture for me, it is a donation which I will likely get back."
I like their mission. Of course, there are flaws. I'd love to see a business model where there is a slight interest return to investors, but you need to start small.
scrooge mcduck would never loan money out at a 0% interest rate
The capitalist pig side of me is bothered by this fact. It cries, "Why would I lend money with no return on my investment?"
The philanthropist side of me retorts, "It is not a profitable venture for me, it is a donation which I will likely get back."
I like their mission. Of course, there are flaws. I'd love to see a business model where there is a slight interest return to investors, but you need to start small.
I'm not thinking of it as a loan at all, I'm not planning on taking my money out. Just gonna keep giving it to new people whenever I get it back
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Are you really in bumfuck Wagga Wagga?
I think it's slow
Oh I'm not laughing, just lamenting.
I'm so sorry.
GO KIVA TEAM! Meet back here in August 2010 once we get our $25 back!
Anyway, nothing says we have to wait until we get our first loan back.
As a 17 year old with a crappy part time job I could see myself putting in $25 every couple months
So uh yeah, I totally helped your business get off the ground. I'm pretty rich. What are you doing later?
You want in?
C'mon.
All the cool kids are doin' it.
These banks will only participate if they'll make something off it. Kiva makes it worth their while to extend these loans in the first place and encourages them, through risk mitigation and the promise of future business, to provide much lower rates than they would otherwise. Seriously, interest in developing countries is a bitch.
barring that it is a neat idea
If I find myself with some spare cash I will throw it this way.
The average interest rate in countries they do microloans in is 86.82%
And the average loan through Kiva has a rate of 23.28%
That is a very high interest rate, we're not arguing that. But it's significantly better than the bank would give people
It's so much better than regular donations for so many reasons. I may be doing my senior thesis on Kiva.
I'm sorry, you need to separate "scam" and "charitable organization" in your personal mental dictionary.
Sorry giving my money to a bank so it can lend said money out at usurious rates and I get absolutely nothing in return except I get to assume the repayment risk? Sorry but that's not charity. Charity is if I 'give' the person the money for their project. Maybe ask them to pay it back with 0% interest. Charity is not giving my money to AMK so they can lend the money to someone and force them to pay 30% interest on the repayment.
I would be fully supportive of a charity site that gave money and asked for repayment at 0% interest or just enough interest to cover operating costs.
same
There seems to be some confusion as to exactly what constitutes a 'charitable act'.
Which is exactly what Kiva does. They're operating in places where the normal interest rate is absolutely prohibitive for most people to get a decent loan.
A major part of the Kiva mission is to promote education in the field of entrepreneurship. If they just gave out money/gave out "pseudo-loans" with no interest, they wouldn't be teaching a thing about how businesses are operated.
The capitalist pig side of me is bothered by this fact. It cries, "Why would I lend money with no return on my investment?"
The philanthropist side of me retorts, "It is not a profitable venture for me, it is a donation which I will likely get back."
I like their mission. Of course, there are flaws. I'd love to see a business model where there is a slight interest return to investors, but you need to start small.
I'm not thinking of it as a loan at all, I'm not planning on taking my money out. Just gonna keep giving it to new people whenever I get it back
Who wants to give me money
Is it an Ice Cream Truck?