Fondo para el Desarrollo Local de Honduras, OPDF (Credisol, OPDF)

Gross Loan Portfolio USD, 2010: 2.6 million

Number of active borrowers 2010: 2,764

Average loan balance per borrower USD, 2010: 941.3

Deposits USD, 2010: 0.0

Assets USD, 2010: 2.8 million

Number of depositors 2010: 0

Mission:

Contribuir al desarrollo de los pequeños y medianos empresarios principalmente rurales,del norte de Honduras, a través la prestación de servicios financieros adecuados a sus necesidades y potencialidades, para contribuir a mejorar las posibilidades de desarrollo a los sectores de menos ingresos ... Read more

Background and Main Challenges:

(CREDISOL, OPDF), es una institución dedicada a la prestación de servicios crediticios para micro, pequeños y medianos empresarios en los departamentos de Colón, Atlántida y Yoro, tanto a nivel rural como urbano. El Fondo para el Desarrollo Local de Honduras, se convierte en una Organización ... Read more

Address:

B. el Naranjal 1/2 cuadra al sur clinicas medicentro casa 1359

Honduras

Phone:

2440-0577

Fax:

2440-0577

Email:

raul [dot] alfaro [at] credisol [dot] org

Main Funding Sources:

Loans

Products and Services:

Loans

Insurance

Looking for (Investment Types):

Loans in Local Currency

% Operations Comprised by MF:

91 - 100

Date established:

Jan 1 2004

FYE:

31-Dec

Current Legal Status:

NBFI

Regulated:

yes

Social Performance Profile


+ Mission specifics
+ Target markets (ranked by importance)
Clients living in rural areas	1
Women	2
Clients living in urban areas	3
+ Development goals (ranked by importance)
Increased access to financial services	1
+ Poverty targets
Low income clients
+ Governance
+ Range of products and services
+ Financial products and services offered
+ Credit products offered
Microcredit loans for microenterprises
Loans for agriculture
+ Savings products offered
+ Compulsory insurance products required
Compulsory credit life insurance
+ Voluntary insurance products offered
+ Other financial products and services offered
+ Non-financial services offered
+ Enterprise services offered
+ Education services offered
+ Health services offered
+ Women's empowerment services offered
+ Products and services targeting the poor
Products and services specifically designed to target the poor:
+ Social responsibility to clients
+ Client protection principles in use
The loan approval process requires evaluation of borrower repayment capacity and loan affordability. Loan approval does not rely solely on guarantees (whether peer guarantees, co-signers or collateral) as a substitute for good capacity analysis.
Internal audits check household debt exposure, lending practices that violate procedures including unauthorized re-financing, multiple borrowers or co-signers per household, and other practices that could increase indebtedness.
Productivity targets and incentive systems value portfolio quality at least as highly as other factors, such as disbursement or customer growth. Growth is rewarded only if portfolio quality is high.
Prices, terms and conditions of all financial products are fully disclosed to the customer prior to sale, including interest charges, insurance premiums, minimum balances, all fees, penalties, linked products, third party fees, and whether these can change over time.
Staff is trained to communicate effectively with all customers, ensuring that they understand the product, the terms of the contract, their rights and obligations. Communications techniques address literacy limitations (e.g. reading contracts out loud, materials in local languages).
Acceptable and unacceptable debt collection practices are clearly spelled out in a code of ethics, book of staff rules or debt collection manual.
The organization's corporate culture values and rewards high standards of ethical behavior and customer service.
A mechanism to handle customer complaints is in place, has dedicated staff resources, and is actively used. (Suggestion boxes alone are generally not considered adequate.)
+ Cost of services to clients
Declining balance interest method
+ Social responsibility to staff
+ Human resources
Transparency on salary (a clear salary scale based upon market salaries)
Benefits (medical insurance, pension contribution)
Equality (anti-discrimination, equal pay for men and women with equivalent skill levels)
+ Basis of staff incentives related to social performance
Ability to attract new clients from target market
Client retention/drop-out rate
Portfolio quality
+ Social responsibility to the environment
+ Poverty measurement tools in use