With the current global economic crisis going on, people are asking many questions about how microfinance will handle the situation, and to what degree MFIs will be affected. As I was thinking about this, I asked myself “am I making the right decisions when I lend?”  I am always interested in learning about new lending platforms and usually just give each one of them a fair trial and then determine which ones I like based on user experience.  I realized that most of my decisions on who to lend to are based on how easy it is to lend and how intrigued I am by the entrepreneurs story.  However, although this makes things fun for me, it is not always the most effective solution.  To piggyback on Drew’s post discussing interest rates,  I have found some interesting posts that lenders can consider when making decisions:

-Ryan Calkins, over at SeaMo, recently made a post entitled “Nine Questions to Ask Every Microfinance Institution” which discusses some questions that the Grameen Bank has come up with to determine which MFIs are good investments.

-David Roodman discusses interests rates and lending in his blog post “When is lending just?”

About Jerry Ostradicky

I work in Advertising Operations at Zillow, but LOVE microfinance. I'm always interested in startups, especially non-profits, reach out to me if you're working on anything cool!