Although Armenia has a national student loan program, loans are disbursed by banks, which often reject low-income student loan applicants because they are considered too risky. This loan is part of Kiva and SEF International’s new loan product built to allow those who are rejected by banks to pursue their education with financing that has terms similar to the national student loan program. This means that low-income students receive an affordable interest rate and a grace period that lasts during the student’s entire studies. This allows students to secure an income before worrying about repayment obligations, but also means there is a longer loan term that may make this loan more risky. Additionally, funds are directly paid to the student’s educational institution at the beginning of each academic term and there is a discounted rate for students who come from particularly impoverished areas. By supporting this loan, you’re contributing to a groundbreaking loan product that empowers this student to secure a better future.
About SEF International:
SEF’s mission is to extend business development and financial services to emerging entrepreneurs in search of productive opportunities to support their families and communities and to build bright futures for children in Armenia.
A loan of $4,250 helps to pay for her daughter’s tuition fees at National Polytechnic University of Armenia.