Will I get the money that I lend repaid to me?

Hopefully yes. The money which you lend (through CARE International UK to the Microfinance Institution (MFI), with the MFI then lending the amount you provided to the entrepreneur) is paid to you through instalments. Each loan to the MFI (and then from the MFI to the entrepreneur) is accompanied by a repayment schedule; this schedule is a guide to planned repayments. Unfortunately though, we cannot guarantee that you will be repaid.  Despite the best support and training provided by the MFI managing the loan, entrepreneurs can still default in their repayments to the MFI.  Default rates are very low, less than 1%. So, there is a small possibility that the entrepreneur won’t be able to pay back its loan to you, in which case you will not receive the affected repayments. If this happens, we will let you know the reason why the entrepreneur defaulted. Loans are generally provided by many lenders so in the event of a rare default, the loss to a single lender is usually quite small.

When CARE receives a repayment from the MFI on a loan that you have made, CARE will allocate the amount to your notional Lender Account.  You can then either re-lend this amount on to another loan, withdraw it from CARE altogether, or donate it to CARE as a gift.  If amounts are allocated to your Lender Account and, over a 12 month period, you do not log into the website, you will be deemed to have donated the amount in your Lender Account to CARE.

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