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Recently launched in Russia, Kiva is a new loan originator joining Mintos this month and offering its short-term loans for investment in Euro (EUR).
Kiva aims to provide better service to the underbanked parts of the Russian population by significantly speeding up time to money, improving availability of service and reducing bureaucracy.
Kiva offers its services only online and is regulated by the Central Bank of the Russian Federation. The loan originator offers short-term loans in RUB, starting from RUB 3 000 to up to RUB 30 000 (EUR 43 to EUR 430) to citizens of Russia. The loan term options vary between 16, 23 and 30 days, with a possibility for multiple loan extensions.
Kiva on Mintos
The average Russia-issued short-term loan the company has placed on Mintos is around RUB 7 600 or EUR 110. The repayment periods are 16, 23 or 30 days and borrowers repay their loan in a single instalment. You can expect net annual returns of up to 13% for its loans listed in EUR.
All loans placed on Mintos by Kiva have a holding company guarantee provided by JSC Finko Group and will be repurchased if the loan is delinquent for 60 days or more. The company will also keep 10% of each loan it places on the marketplace to maintain its skin in the game.
Kiva is part of the Finko group. Finko group has encouraged the clients of Metrokredit, a loan originator within Finko group whose operations have been recently interrupted, to switch to Kiva and continue using short-term loan services.
Kiva’s loans will be listed on Mintos under the name of Finko Russia in all filters (Auto Invest, Primary Market, Secondary Market) and on the Loan Originators’ page on Mintos. The Mintos Risk Rating for Kiva is C+.
According to Finko, Kiva’s goal is to be among the top ten microfinance service providers in Russia by the end of 2020, measured by money disbursed per month. To achieve this, Kiva aims to disburse € 10-12 million in loans per month by the end of 2020. At present Kiva issues more than € 5 million in loans on a monthly basis, with a forecast of € 13.1 million in new loans and € 8.8 million in repeated loans during Q1 2020. The loan originator considers it is ready for controlled and sustainable growth. Kiva management team was previously leading one of the largest short-term loan lenders in Russia and has extensive experience in business management, risk management and finance.
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