When one side of the world is enjoying all pleasures, there is another part that suffers in grief. It is no fault of theirs to be born in the grieved nation, yet they suffer in silence. There are many opportunities in the urban areas, yet here many fail in creating a life-sustaining opportunity for them. So, imagine in the rural areas, where the resources available to is scarce and the kind of opportunities to low.
So, how do they find their ray of hope? That’s in the form of microfinance. Microfinance is the new way of reaching out to lower income group of people to help them build their business. This is a simple activity that brings the lenders who are willing to give their small savings in the form of small loans to people of different nations, at an interest rate fixed by them, to the borrowers who are talented enough in a chosen field of business, or to give them a small loan to educate their children, to construct a home or to give them the basic needs like food during tough times.
Earlier microfinance was only in cash transfers, like using net banking or money transfers. But now, we have latest levels of microfinance loan options. Read on to know:
Using PayPal capital:
This is the newly launched form of microfinance, who already have more than 100M accounts active. What makes this different from the rest? The reason is that the interest is based on the total monthly business made by the borrowers; which allows the lenders to be a little more flexible to the opposite borrowers. Along with this, another deciding factor for PayPal to give credit is the sales history in this unit itself.
Yes!! Couldn’t believe it? Bitcoin has now entered the market of microfinance. The main reason is the ease of transfer and hassle-free, low-cost transfer. Bitcoin is the first digital currency that is available in the market and is pretty quickly being accepted as the main currency and sooner will be accepted by the governments too as a legal tender. Bitcoins have an ease to be transferred from mobile or any computer gadget and there is no hassle in it.
Microfinance is gaining momentum across the globe and is the best alternative to regular banks. This is creating a new possibility in the places which were deserted by rest of the world.