Loan repayment time
Agrics offers smallholder farmers the opportunity to buy certified seeds and fertilizer by paying in installments, free of interest. The farmers are given around eight months to repay for the costs. The first part needs to be repaid at the moment the farmer receives his ordered inputs. In the following months farmers can decide for themselves how much they would like to pay back every week, as long as 80% of the amount is refunded after six months.
Community Sales Officers (CSO's) collect the money of the farmers. The CSO's keep a record of every individual farmer, the farmer signs for every transaction made and receives a copy. The Community Sales Officers hand over the collected money to Agrics, in Kenya we make use of mobile payment (M-Pesa), in Tanzania it's still in cash.
Shija Jiji, a proud farmer from Tanzania, has recently completed his loan, perfectly on time. His maize is harvested, the bills are paid. He is ready for a new season.