Comments/Feedback on Conversation with Kiva 14 June 12

Discussion in 'Kiva | Loans That Change Lives' started by milchap, Jun 14, 2012.  |  Print Topic

  1. milchap
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    milchap Gold Member

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    Premal confirmed that 15% of loans posted in May expired unfunded. Kiva was very surprised by this number.
    I hope the epiphany leads to some corrective action.
     
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  2. misman
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    misman Gold Member

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    I was disappointed in the call. I went into it hoping to learn something new... I don't know anything new. There was nothing stated to really address the new big loans, or the high expiration (other than a mention of it.)

    Looks like things are going to stay the same until lenders start ignoring the big loans and flooding the little ones.
     
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  3. milchap
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    milchap Gold Member

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    I will find the small loans and lend to them.
     
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  4. kiwi
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    kiwi Gold Member

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    Thanks for the feedback on the call for those who missed out participating listening in.
     
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  5. jbcarioca
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    jbcarioca Gold Member

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    I was saddened. Premal said it was a big surprise to see the rise in unfunded loans despite the conversations about that very subject we had had during the DO. It is sad but true that they really do not think we've anything to offer other than money.
     
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  6. tondoleo
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    tondoleo Gold Member

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    Of course all they want is the money from lenders. How else does their business model function.

    The Kool-Aid does not taste so good today after listening in on the call. I am bothered that Mr. Shah said he was surprised at the 15% rate for failed loans. Yet, he never was able to express the insight that the huge loans to Barefoot and education blocked funding to the truly needy entrepreneurs and their MFIs.

    Fortunately, tomorrow is a day of celebration as milchap should be honored on the anniversary of his birth.

    Good luck to the rest of you. I look forward to reading more input on the issues Kiva is now facing.
     
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  7. YULtide

    YULtide Gold Member

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    I don't know whether to be encouraged or discouraged by the expression of surprise.

    Was there any sense that Kiva believes it has any responsibility for this fiasco? Do they understand that they need to fix how they are doing things, or is it all about hoping the MFIs adapt to the new laissez-faire system, and lenders step up the the plate?
     
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  8. tondoleo
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    tondoleo Gold Member

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    My conclusion is the latter.:(
     
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  9. nime01
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    nime01 Gold Member

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    This is bad news indeed. Somehow I thought they were going to listen (if just a little) to the lender communities.
     
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  10. canucklehead
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    canucklehead Gold Member

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    No, no concrete solutions, my question was ignored by Bob who was picking out questions from the Chat. I asked if they would consider other solutions like incrementally increasing the # of loans on Kiva as opposed to making it fully open market. I had also emailed Ali about the problem, and while she said it may have been a technical issue, she did say "Bob was randomly pulling questions and trying to cover them, but didn't get to everything we were getting."

    apparently, my question was not one of the topics that needed to be covered! :(

    I noticed a few comments on teams over on Kiva and kivafriends about how responsive Kiva is and are looking to address the issue once they perform their analysis (with references to how the US program was panned and in demand at the same time as partial justification of what is going on now). Unfortunately, many lenders were not at our Kiva Do, so they did not know that this was a heated discussion. Further, these exact points were made to them before the meeting and at the Do, so disappointing given the information we have.
     
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  11. milchap
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    milchap Gold Member

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    I hope team members are voicing their concerns to kiva at contactus@kiva.org . The more members that voice their opinions on the present situation the better chance that we can influence the course of events.
     
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  12. YULtide

    YULtide Gold Member

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    I notice today that I have received 20% of expected credits. Usually on Credit Day I receive 80% or more. Problem with the processing of repayments? Or the Open Marketplace at work? Is this the new normal?
     
  13. milchap
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    milchap Gold Member

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    Good questions.....
     
  14. nime01
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    nime01 Gold Member

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    x2.

    Experiencing the same thing here.
     
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  15. jbcarioca
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    jbcarioca Gold Member

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    Good news. I just had an email from Kiva saying they'll process my withdrawals without paper. :)
     
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  16. Stephen
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    Stephen Gold Member

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    Is Kiva bi-polar?
     
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  17. jbcarioca
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    jbcarioca Gold Member

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    Are we? Am I? Ask not a question unless you already know the answer, it is said.
     
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  18. Stephen
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    Stephen Gold Member

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    I don't think we are, and I know I am not :)

    And I think I do know the answer. They present a bi-polar stance to get more money, and that is it. :(

    Tell you good things, even expand on the background of something, all the while making more of the same in the background. Expecting new lenders to just jump at it while they deflate their most excited members.

    Then again I don't see the other groups complaining about these things so much, so maybe it is just us, but I really don't think so. We are, and have been an enthusiastic team, as evidenced by the growth this month even. Even with the large influx of new lenders we have a high # loans per member average, and we'd like to keep it that way encouraging all to loan often through a peer pressure network :D
     
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  19. Jenny & Curt
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    Jenny & Curt Gold Member

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    I have been a Kiva lender for longer than I have been a Milepoint Kiva lender, but am only hazily understanding the issues you are addressing here. Unfortunately, I missed the Do, as I was busy redeeming miles for travel, so would it be possible for someone to post a Cliff's Notes version of the expiring loans issues (and/or others?) Thanks!
     
  20. misman
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    misman Gold Member

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    The long and short of it as I see it is this: Kiva allowed some FPs to flood the market with loans. The lender pool could not/would not absorb all of the new loans, and that caused the expiration rate to sky-rocket to 15% in May... 1 in every 6.7 loans expired without funding.

    That, as well as the addition of some student loans (that do not start to pay off for years,) and the appearance of the BareFoot power loans (in the tens-of-thousands of $$) have caused some disgruntlement among the team.
     
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  21. milchap
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    milchap Gold Member

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    In addition, the introduction of SMEs (small medium enterprises) to the mix of loans has brought some concern that Kiva was straying from the Kiva microlending brand.
    These concerns were voiced at the DO and some very astute lenders voiced the additional concern that such an expansion could flood the marketplace with the Kiva introduction of the open marketplace where controls on how many loans were relaxed and MFIs could post loans as they desired.
     
  22. misman
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    misman Gold Member

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    This summarizes the general feeling pretty well, IMO.
     
  23. Dreamworks

    Dreamworks Gold Member

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    In an email from Ali, she said that she wished more Milepointers asked questions during the call. I'm guessing as long as they have someone moderating and paraphrasing chat messages, that actually talking on the call might be the way to go.
     
  24. milchap
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    milchap Gold Member

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    The next call, I suggest that they use a staff member to moderate.....then I will feel comfortable to ask a question.
     
  25. canucklehead
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    canucklehead Gold Member

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    I'm gonna say that I am a tad annoyed and disappointed if she said this :confused: as I have had an email exchange with her about this! :mad:

    I asked a question using the online chat which Bob did not pick up. fcjapan asked a similar question which was not asked to Premal. We both asked about expiring loans which really has been a big topic of discussion relating to open marketplace. What more can we do to get the question answered? :rolleyes:
     

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