Kiva offers a globally recognised microloan platform, allowing users to lend as little as $25 to entrepreneurs and individuals in need. Notably, these loans usually feature a 0% interest rate, making them unique in the market and accessible for many Nigerians looking to support businesses around the world. Loan terms vary depending on the borrower’s profile and repayment ability but typically range from a few months up to 36 months. Kiva is aimed at fostering social good with flexible repayment structures and no hidden costs.

How to Apply for a Kiva Loan

1. Register online on the Kiva platform.
2. Choose a borrower or project you wish to support.
3. Select your lending amount (from $25 and above).
4. Proceed to the payment step using a secure method such as PayPal or card.
5. Track your loan and receive repayments as the borrower pays back over time.

Major Benefits of the Kiva Loan

One of the strongest advantages of the Kiva loan is its zero interest nature – lenders receive their principal back but pay no interest. This maximises the impact per naira without additional cost.

Additionally, Kiva enables you to choose borrowers based on their profiles, projects, and causes, such as supporting women, refugees, or green initiatives worldwide. It’s empowering and transparent.

Downsides to Consider

Kiva operates as a lending platform, not a traditional bank, so repayment is not always guaranteed. While the repayment rate is high (over 96%), there is some lending risk.

Funds are not instantly available to withdraw after repayment as they may take time to process back to your account or can be re-lent via the platform.

Verdict: Is Kiva Right for You?

If you’re seeking to make a social impact globally or locally, and are comfortable with accepting some risk in return for potential returns of principal, Kiva’s loan platform is outstanding. Its zero interest, low-entry barrier, and flexible approach are hard to beat for social-focused lenders in Nigeria.