Microcredit - Loose Change for Real Change

From the previous decades up to the early 2000s, international development was to be propelled by microloans. The objective was to lend small loans to individuals in developing countries to assist them in developing and also expanding their small businesses hence kicking poverty out of their families. Profits from the returned loans would then be used to lend to more individuals aiming at a very large number of families to do away with poverty.

Many microfinance lending organizations began at those times. Very many organizations started to offer loans as potential donors and investors supplied funds to microcredit. By the end of 2013, there was a rise in the number of borrowers to more than 200 million. Accion US Network is an example of one such institution in the US. It is the largest nonprofit microfinance network in the US and works with people to help them grow their business.

What Is Microcredit?

Microcredit is an extension of small loans to poor individuals who lack