Microcredit

What is impactMarket microcredit?

Micro-Credit is a small amount of money borrowed to someone who lacks a steady source of income, collateral, or any credit history. It aims to support and kickstart entrepreneurs who are unable to obtain the financial backing needed to start or enhance their already existing small businesses. impactMarket Microcredit is available to impactMarket communities.

What is the difference between an impactMarket microcredit and a regular bank microloan?

impactMarket’s Microcredit ensures that all selection processes occur within a few days, directly on your phone and with the best interest rate available on the market. impactMarket microcredit is disbursed in Celo Dollars (cUSD). The loans in local banks have several requirements you need to meet higher interest rates. For example, a bank's interest rates can usually be 35% or higher. It also takes a lot of time to be processed, requires you to complete many steps, and even spend some money ...

How does impactMarket microcredit work?

1. Screening: We invite all eligible people interested in applying for microcredit to fill in an Application Form. This survey will help us learn about you and your ability to manage this micro-credit. 2. Interview: If you’re selected, you will be invited to attend an interview with different members of impactMarket’s team. This interview will happen online to get better to know you and understand what your business goals are. 3. Microcredit Disbursement: Once you are approved, you will be...

Who is eligible to apply for an impactMarket microcredit?

The current requirements to apply for a impactMarket microcredit are: - Be a beneficiary or community manager from impactMarket - Countries: Brazil, Nigeria, Uganda, or Venezuela (for other countries, we will have news soon) - Have a small business active - Have an email account, cellphone number, and identification card

What are the contractual conditions of impactMarket microcredit?

- Loan amount: 1st loans: $50-$300 cusd (Celo Dólar) - Maturity: 3-4 months - Repayment: daily, weekly, monthly, at the end of maturity - Interest Rate: Daily Interest = 0,2%

How is the daily interest rate calculated?

Microcredit is not free money, so it always has an interest rate associated. A daily interest rate means that every day will be added a % (interest rate) to your debt (check the interest rates here (https://support.impactmarket.com/396069-What-are-the-contractual-conditions-of-impactMarket-microcredit)). You should consider the following formula: Total Debt = Amount Due + (Amount Due * Daily Interest Rate * number of days due) As an example: You received $100 as a Microcredit on the 1st...

What are the advantages of a daily interest rate?

A daily interest rate has some advantages: - Control: you can have more control over your debt. You know each day what is the amount of your debt. - Early repayment: Allows you to save on interest fees. - Flexibility: allow you to repay when it is more convenient to you and save on interest fees.

How to apply to impactMarket microcredit?

1. First, check here, (https://support.impactmarket.com/916836-Who-is-eligible-to-apply-for-an-impactMarket-microcredit) if you are eligible. 2. You should fill in the application form. A link will be available soon. Please, contact your community manager. 3. After checking your application form, the impactMarket team will invite you to an interview.

How to claim my microcredit on Libera?

1. Open your Libera wallet 2. Go to the menu "Loan" 3. Connect your wallet (if it is not connected yet) 4. Check the conditions of your loan and press "Sign contract to accept X cUSD Loan" 5. Read your contract and confirm you agree with all terms and conditions 5. At the end of the contract, sign your name and write your Identification Number 6. Tick the 2 boxes with information 7. Press "Accept $ Loan," wait a few seconds, and a pop-up will appear to "Approve". Press "Approve". 8. Go t...

How to repay my microcredit on Libera?

1. Open your Libera 2. Go to the menu "Loan" 3. Connect your wallet (if it is not connected yet) 4. Choose the amount you want to repay 5. Press "Approve Transaction," wait a few seconds, and a pop-up will appear on your screen to "Approve." Press "Approve." 6. Press the button "Repay," wait a few seconds, and a pop-up will appear on your screen to "Approve." Press "Approve." 7. You can check your Loan Overview and see your debt has decreased.

What are the risks of getting a microcredit?

Microcredit is not free money! So it is very important to consider what your business needs, what you will be able to repay, and how your personal expenses and circumstances will affect this. To avoid your debt grow, you need to consider: - Interest Rate: Microcredit is not free money, so it always has an interest rate associated. impactMarket microcredit offers you a fixed tax, but your debt will increase daily. - Repayment Date: it is very important to repay the debt on time to avoid ex...

What are the consequences of not repaying my microcredit?

There will be individual and community consequences such as: - Denied access to microcredit to the entire community and individual - Community and individual deleted from the impactMarket ecosystem - Legal action