A Seattle-based non-profit has helped 1,000 students in developing countries get a proper education — thanks entirely to its micro-loan platform and donations from the public.
Vittana was founded in 2009 with the aim of helping students in developing countries pay for their education through student loans. Two years later it has funded 1,000 students in 10 developing countries.
While that may not seem like a lot, it’s a major milestone when you consider those micro-loans are being paid by micro-donations from around the world. The platform’s high return rate doesn’t negate the amount of blind trust and goodwill necessary to make Vittana run. So far it’s been paying off for students like Bernarda Esmilsen Escobar, a young woman studying nursing in Paraguay and Vitanna’s 1,000th student.
Escobar didn’t have enough money to finish school and requested a $900 micro-loan. When she graduates she’ll earn more than $20 per day, up from $9 per day, to support herself and her son. That improvement is typical, according to Vittana, which claims its students earn nearly three times their original income after graduation.
Student loans can amount to thousands of dollars in the U.S. In developing countries, student loans are much less expensive, but there are also fewer options for help. Vittana acts as a way to provide those people with the loans needed to finish their education. Users can pledge as little as $25 to be repaid by the student over time. Although repayment isn’t guaranteed, the non-profit claims a 99% return rate. Users can then reinvest that money, donate it to Vittana or withdraw it as cash.
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