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Microlender

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Microlender
A person or bank that makes loans in small amounts. In the developing world, microlenders often make loans of only a few dollars to facilitate the start of small businesses. In this case, the interest can be a flat fee that does not compound. In the developed world, microlenders make loans of $5,000 to $25,000 and charge higher interest rates than they would for larger loans.

microlender
A company or organization that makes small loans to businesses that are generally unable to obtain financing from a regular source. Microlender loans often range from $5,000 to $25,000 at interest rates higher than those charged by commercial banks.


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As the financial crisis continues to dampen the global economy, a popular online microlender to third world countries, Kiva.
Another element of the act that is already in place is SBA's microlender program, which backs provision of loans of up to $35,000 to small businesses and start-ups.
Caution was further embedded with the crash of two major microlenders five years ago, due to sloppy risk management and ineffective borrower profiling.
 
 
 
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