How do I set up a DesereTLoan account?
Go to the Home page of the site and click on “Login/Signup” at the top right of the page. Then, fill in the required fields and click on “GO”. The information you will be asked to provide is a valid e-mail address, which will be visible on the site and a password.
How do I lend money to a project?
Choose a project
In the main menu , click on “Browse Entreprenuers”. This will take you to the Entreprenuers page, where all the projects available on DesereTLoan, pending funding or repayment, are displayed. Next select your project or borrower and click on the lend button below or borrower’s photo to go directly to their project page where you can learn more about a project or a borrower. There you will find information about the borrower and the terms of the loan. Then click on the “Lend Now” button on this page.This will take you to another page where you can select the amount you wish to lend in multiples of $20 (minimum $20).
Financing your projects
DesereTLoan has chosen PayPal for its secure online payment system for financing micro-entrepreneurs’ projects.
To finalize the financing of your projects, click on "LEND” on the payment page – you will then be automatically transferred to a Paypal page.
For more information about Paypal, click on www.paypal.com
How do I track my loan(s)?
In the main menu at the top of the page, click on the “My DesereTLoan” section to view the history of your loan portfolio and the balance remaining in your DesereTLoan account. On this page, you can also view your personal profile, investment profile and keep in contact with the DesereTLoan community.
Once a project has been funded, the DesereTLoan website allows you to follow its developments on a monthly basis. DesereTLoan is regularly in touch with the entrepreneurs during the loan period, and receive regular repayments from them. DesereTLoan provides monthly updates on the repayment status of each loan, and displays this information on for lenders to see.
How do I withdraw my money?
When the loans you have made reach the end of their term, DesereTLoan credits your DesereTLoan account with the amount repaid. You can lend these funds again, or request to withdraw part or all of your balance.
To do so, go in “My DesereTLoan” section Home, enter your the IBAN of your bank account and choose the amount you wish to withdraw (which must be less or equal to the balance available on your account) then validate.
NB: Funds used for financing a project may not be withdrawn before the loan maturity date of the project.
What is Paypal?
PayPal is the safer, easier way to pay and get paid online. The service allows anyone to pay in any way they prefer, including through credit cards, bank accounts, PayPal Smart Connect or account balances, without sharing financial information.
To manage the financial flows and the electronic money generated by the use of the platform, DesereTLoan has decided to partner with Paypal.
What is the repayment procedure?
The micro-entrepreneur repays his loan according to a precise schedule. When all the repayments have been completed, DesereTLoan transfers the funds to the lenders. The transfer of the funds is made in one single payment to limit the number of money transfers.
Does the micro-entrepreneur pay interest?
No, micro-entrepreneurs pay no interest on the sums borrowed . One of the principal objectives of micro-financing is to create a model of sustainable development. In this way, the assistance provided to populations traditionally excluded from financial services can take place in a context where all the participants in the chain benefit in some way and can cover their costs and envisage developing their activity on a long term basis.
Are there any risks involved?
As for any loan, there is a risk of non repayment of which the lender must be aware when deciding on the amount to loan. However, with DesereTLoan, in the case of non repayment by the micro-entrepreneur, Deseret Co-operative Credit Union takes the place of the borrower for the reimbursement of the sums in question. In order to limit the risk of bankruptcy, they have created meticulous procedures and established strict criteria for entering into a relationship with a micro entreprenuer.
How does DesereTLoan cover its operating costs?
Every dollar you loan on DesereTLoan goes straight towards funding loans; DesereTLoan does not deduct any amount. In addition, Deseret does not charge interest to our borrowers, who use the loans.
To support DesereTLoan’s activities and participate in costs associated with lending, including foreign currency exchange and bank transfers, the user may decide to add an amount of their choice to their donation of multiples of $20 as a contribution to DesereTLoan (eg. $2 donation in addition to $20 lended=$22 or $1donation inddition to $40 lended=41). This contribution is not tax deductible. DesereTLoan may also raise funds through individual and corporate donations.
How to close an account on DesereTLoan?
It is possible to close your DesereTLoan account by sending your request to deseretloan@gmail.com If you still have money available on your DesereTLoan account we invite you to withdraw your money via PayPal (see section: How do I withdraw my money? )
If you have one or several ongoing loan repayments, we cannot close your DesereTLoan account because the repayment of your loan(s) would fail. We invite you therefore to reiterate your request when you no longer have ongoing loan repayment.
If you wish, we can nevertheless unsubscribe you from our mailing lists. To do so, please contact us at deseretloan@gmail.com.
What is Microfinance?
Microfinance is a source of financial services for entrepreneurs and small businesses lacking access to banking and related services. The two main mechanisms for the delivery of financial services to such clients are: (1) relationship-based banking for individual entrepreneurs and small businesses; and (2) group-based models, where several entrepreneurs come together to apply for loans and other services as a group.
In some regions, for example Southern Africa, microfinance is used to describe the supply of financial services to low-income employees, which is closer to the retail finance model prevalent in mainstream banking.
For some, microfinance is a movement whose object is "a world in which as many poor and near-poor households as possible have permanent access to an appropriate range of high quality financial services, including not just credit but also savings , insurance, and fund transfers."[1] Many of those who promote microfinance generally believe that such access will help poor people out of poverty, including participants in the Microcredit Summit Campaign. For others, microfinance is a way to promote economic development, employment and growth through the support of micro-entrepreneurs and small businesses.
Microfinance is a broad category of services, which includes microcredit. Microcredit is provision of credit services to poor clients. Microcredit is one of the aspects of microfinance and the two are often confused. Critics may attack microcredit while referring to it indiscriminately as either 'microcredit' or 'microfinance'. Due to the broad range of microfinance services, it is difficult to assess impact, and very few studies have tried to assess its full impact.[2] Proponents often claim that microfinance lifts people out of poverty, but the evidence is mixed. What it does do, however, is to enhance financial inclusion.
What is an online micro-credit platform?
.Online peer-to-peer micro-credit abbreviated as P2PL is a new practice in micro-finance where internet the world users over have the opportunity to choose online, projects of micro-entrepreneurs’ who need financial assistance to improve their business. They finance them directly by making loans via an internet platform. Online lenders then follow the development of their projects until the last repayment is made. This way, online lenders (internet users) take concrete action in the struggle against poverty.
DeseretLoan is a new online micro-credit platform which targets individuals and organizations.
Why set up a DesereTLoan account?
You create an account with DesereTLoan, to become a member of the DesereTLoan lending community. This is an essential step before you can lend to micro-entrepreneurs and participate in events organised by the community. Once you have set up an account, you can follow your loans online, create groups of lenders who share the same interests and associate your friends with your projects to encourage them to become lenders themselves and alert them to the issues you feel strongly about.
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