Q.

What interest rate do you charge for loans?

Opportunity International, November 17, 2014

Interest rates vary by country depending on the local economy and cost of borrowing, political stability, inflation rate, product, size of loan and payment terms. The interest  our partners charge covers the cost of delivering the loan and related products and services including savings accounts, insurance and training. Interest on short-term, group loans typically ranges from 2 to 5 percent per month and 1 to 3 percent per month on individual loans using flat or declining balance calculations. The gross portfolio yield in 2012 was 38.7 percent (a fair approximation of the aggregate global rate). Above all, we remain committed to continuously improving the value of services to clients and to working with our partners to lower interest costs over time while ensuring that the price structure rmaintains financial viability and ensures loans can be repaid and recycled again and again.