>Posted by Center Staff
Microfinance Transparency recently released an interactive video designed to share information about flat and declining interest rates in an engaging new way. It tells the story of “Chantal” and “Auntie-Need-a-Loan.” Auntie doesn’t read the terms and conditions of her loan. Unfortunately, her carelessness leads her to get tricked by loan predators, pay high fees, miscalculate her interest, and miss her loan payments. The concept was created to help industry stakeholders to convey important pricing transparency and consumer protection messages.
In addition to this animation, “Auntie-Need-a-Loan” will be featured in radio public service announcements, training materials and other print materials throughout Rwanda and Malawi.
Check out the full animation here!
Image credit: 17triggers.com
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July 9, 2012 at 5:35 am
Louisa Dennison
The animation mentioned above is part of an education package developed by MFTransparency for the purpose of teaching consumers about microfinance pricing. This education package was developed last year by leading financial education experts who used proven education techniques and piloted the package in Rwanda and Malawi.
Together with the animation the package includes a trainers manual, adaptation guide, kit of images for use in workshops and training sessions, as well as examples of public service announcements and a jingle to use as part of a radio campaign.
These can be accessed via the resources section of the MFTransparency website:
http://www.mftransparency.org/resources/
http://www.mftransparency.org/new-consumer-education-resources-from-mftransparency-2/
July 9, 2012 at 2:07 pm
amar
Nice message but why does it focus solely on “need to know” by customers and not on “need to tell/inform” by MFIs.
July 10, 2012 at 11:35 am
Louisa Dennison
MFTransparency (and the SMART Campaign) are all in favor of MFIs communicating true pricing. We work at that from various perspectives. For MFIs, we include it in the Client Protection Principles for MFIs and give them methods by which they can communicate true prices. In addition to our work with MFIs we also work with regulators to advocate that they pass truth-in-lending legislation, obligating all lenders to communicate true prices. But the video above is consumer education. It helps educate consumers on what to do when lenders do not communciate true prices and when regulators have not yet obligated them to do so.
July 10, 2012 at 12:35 pm
Sergio Guzmán
Dear Amar, thank you for your question. Transparency has two sides, one is provider-focused and the other client focused. This video is aimed at clients, but there exist efforts to have providers implementing the same standards on transparent pricing. If you are interested in knowing what the standards are, I invite you to visit the section on transparency on our recent Client Protection Certification Propsal: http://www.smartcampaign.org/about-the-campaign/2011-11-21-16-36-33
November 13, 2013 at 9:31 am
find a school
I do trust all the concepts you have offered in your post.
They are very convincing and will definitely work.
Nonetheless, the posts are too quick for starters.
May you please extend them a bit from subsequent time?
Thanks for the post.