Kiva Review – Crowdfunding With a Heart
What is Kiva?
How does Kiva work?
How much does Kiva cost?
Great for borrowers in underserved or unbanked communities
Low barrier for entry
Who is Kiva best for?
- Those who care about the social impact on a global level. As a non-profit itself, Kiva is ideal for those who want to do social good. Being able to search for important causes like renewable energy projects or loans addressing food scarcity around the world means that you can ensure that as part of your finances you’re having a positive impact on others. While platforms like GoFundMe offer a similar form of charity, Kiva’s loan applicants are much more distinct and in line with larger issues facing the world.
- People whose finances are tight but want to help others. If you have a passion for social impact but don’t have a ton of money to be charitable, the fact that your loan amount is repaid over a set schedule can give you the peace of mind that you’re not overextending yourself financially to support the causes that matter to you.
- The underserved/unbanked. It’s worth reiterating that for borrowers a platform like Kiva is incredibly empowering. Having access to interest-free, fee-free loans can give people who otherwise wouldn’t have the ability to raise and spend money to better themselves a host of opportunities.
Who shouldn’t use Kiva?
Pros & cons
- No fees. Both for you and the borrower you’re helping, not having to pay extra fees makes sure that your dollars go where you want them to.
- High repayment rate. With a historical average repayment rate of 96%, you can rest assured that your loan will almost certainly be paid back according to the loan terms outlined on the campaign page.
- Easy-to-use. Kiva is just as easy to navigate as any other crowdfunding platform on the internet. Its clean user interface and transparent information about what makes each loan application unique and the various loan terms associated with it help you make an informed decision as a lender.
- Lenders don’t make money. While not everyone needs to make money off of their loan, certain individuals use that incentive as part of the calculus that comes with lending money to strangers online. Kiva is a mission-centric organization and doesn’t let lenders profit off of its platform.
- Crowdfunding is all-or-nothing. Like other crowdfunding platforms, if you have a cause you care about supporting, your money will only help that campaign if it reaches its goal. This means that spreading the word and calling on your social network could still play a role in having your money create the positive impact you’d like it to.
- Website is more lender-centric. The Kiva website is great for lenders. Borrowers looking to take advantage of the platform will need to dig a little more to find out more about the loan application process and submit their applications.
Kiva vs. GoFundMe vs. Prosper
|Kiva||$25||None||Microloans for small businesses and entrepreneurs in underserved communities|
|GoFundMe||$1||2.9% + $0.30 per donation||Personal or charitable organization fundraising|
|Prosper||$25||1% on the total outstanding principal||Investors wanting to fund personal loans and get a return|
The bottom line
Reclaim Up to $610/Year in Car Insurance
Here’s the thing: your current car insurance company is probably overcharging you. But, who has the time to look around for around a new company?
A website called CarInsurance.net makes it super easy to see if you’re getting the lowest price. All you have to do is enter your ZIP code and your age, and it’ll show you your options.
Using CarInsurance.net, people have saved up to $610 a year.
It takes just a few minutes to see how much CarInsurance.net could put back in your pocket. And the best part? Because we’re driving less, some insurers are slashing prices this month.