Tuesday, January 14, 2014
Fighting poverty, one week at a time
On of the most exciting things to come out of the last year at One Family was the savings and loan program. The program is open to all members of the church. Each participant is required to pay about $2.25 per week into the program; once they have paid about $38 into the program they are eligible for a $125 no interest loan. 37 church members have taken advantage of this program and have used it to do repairs on their homes and pay for their children’s schooling, but the majority have used it to buy bulk goods and sell them at the market for a profit.
This is an amazing program, it encourages saving and investment while providing church members with an alternative to the predatory lending practices that are the norm in Haiti. The thing I love the most about this though is that the program is independent and interdependent at the same time. Independent in that it requires no outside help, no charity involved, just Biblical approach to money lending. Interdependent in that the program requires a loan applicant to be vouched for by two other Savings and Loan church members before they can borrow. Those two members cannot borrow money until the third has repaid their loan, therefore there is an added element of accountability to one another.
The picture here is from February 2013 and shows Pastor Kesnel explaining the Savings and Loan program to me.