Comments on: Designing Microfinance for the Borrower’s Well-Being http://cfi-blog.org/2013/07/19/designing-microfinance-for-the-borrowers-well-being/ Fri, 19 Dec 2014 20:20:34 +0000 hourly 1 http://wordpress.com/ By: N.Narasa Reddy http://cfi-blog.org/2013/07/19/designing-microfinance-for-the-borrowers-well-being/#comment-20498 Mon, 04 Nov 2013 05:28:19 +0000 http://cfi-blog.org/?p=11751#comment-20498 I read your article.I retired two years back as General Manager from a leading bank in India.I have dealt with micro-finance for a decade including as a chairman of a regional rural bank for 4 years.Let me say the following
a)IIM,Bangalore has conducted a study which throws open many issues like multiple borrowing,presssure on borrowers etc
b)MFIs model itself needs a relook
c)borrowers need repayment terms in tune with their income,skilling for the activity and financial management,insurance/assurance against certain uncertainities.
I shall be happy to be part of such efforts by concerned organisations/individuals

]]> By: Related Site http://cfi-blog.org/2013/07/19/designing-microfinance-for-the-borrowers-well-being/#comment-19566 Fri, 18 Oct 2013 20:55:28 +0000 http://cfi-blog.org/?p=11751#comment-19566 Truly helpful, looking frontward to returning.

]]> By: durgavanshi http://cfi-blog.org/2013/07/19/designing-microfinance-for-the-borrowers-well-being/#comment-14626 Mon, 22 Jul 2013 16:23:34 +0000 http://cfi-blog.org/?p=11751#comment-14626 One of the drivers of high repayment rates in MF sector is discipline of repayment on time. I have seen field officers being lax on repayment dates and then they suffer high delinquencies. If taking loan is generating financial stress then maybe the borrowers cannot afford credit and need other services.

]]> By: N NARASA REDDY http://cfi-blog.org/2013/07/19/designing-microfinance-for-the-borrowers-well-being/#comment-14604 Sat, 20 Jul 2013 08:40:26 +0000 http://cfi-blog.org/?p=11751#comment-14604 The common sense that frequent repayments leads to mental stress is proved through a study.But the stress between a prompt borrower and those who get debt waivers needs analysis,considering the impact of such waivers on repayment ethics

]]> By: Paul Rippey http://cfi-blog.org/2013/07/19/designing-microfinance-for-the-borrowers-well-being/#comment-14601 Fri, 19 Jul 2013 23:01:29 +0000 http://cfi-blog.org/?p=11751#comment-14601 Hi there. Client well-being is a great idea and it’s good to design credit programs to reduce the stress of additional debt. But rather than assume that microfinance clients are always BORROWERS, you might want to look seriously at savings-led approaches, both formal and non-formal.

No one ever felt stressed-out because they had savings accounts all over the place. Please don’t assume that additional debt fights poverty, or that poor people can’t save. Neither is true. If you want to design microfinance for the client’s well-being, help them get out of debt and build up their personal assets.

Nothing fights poverty like having more money.

Oh, I should add: Yes, sometimes a loan is just what people need, and yes, I do use banks! You can find out MUCH more about savings led approaches at Savings-Revolution.org.

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