A major reason that I hear for not donating money is “I worked for what I have, why can’t they?”. Personally, I think this excuse is just poorly disguised apathy and any person who has stepped into a decent sociology class can tell you why it is wrong. But, that is besides the point. With microloans, you are giving people the opportunity to work for what they have.
Microloans have been proven by many economists to be the among most sustainable and permanent solutions to poverty. Basically, how they work is that every day people or small businesses that have a disposable income loan out money to people in the developing world to start a small business or means of production. They then return the loan, at which point the original lender can re-loan that money. This is all facilitated through Kiva. With Kiva, you can choose who you want to lend money to by looking at their profiles and business plans, then when they pay it back, the money ends up again in your Kiva account. Also, there are gift cards available which are great gifts for anyone you know in the business or finance sector.
Since Kiva was founded in 2005:
- There have been 788,397 Kiva lenders
- There have been $330 million in loans
- There has been a 98.99% Repayment rate
Kiva works with:
- 154 Field Partners
- 450 volunteers around the world
- 62 different countries
So, please look on Kiva and see what you can do to help people trying to better their lives and the lives of their family.