1. Household Financial Education Loans have many benefits 1. Pay over a longer period of time which makes it easier to purchase a latrine. 2. Learn how loans work in a low-risk way. This will prepare you if you decide to apply for a larger loan in the future. 3. Demonstrate to Kredit that you will repay your loan. This helps to build trust with the Kredit and makes future loans easier. 4. Easy and fast loan repayment in your village. 5. No collateral needed. Instead your group members will guarantee each other’s loan. 6. Kredit has a local organizer called a Community Bank Leader which can help answer your questions. 7. Taking a loan does not mean you are poor or uneducated. Taking a loan in a responsible manner is a sign of good financial planning. 8. Taking a loan from Kredit is less risky than taking a loan from an informal lender and less emotional than taking a loan from friends or family.

2. Household Financial Education Sample Repayment Schedule 0.8m Ring Package 1. Loan Size: 170,000R 2. Loan Term: 12 months 3. Monthly Interest Rate: 2.9% 4. Balloon Repayment Method 5. Option to pay loan back early and save on interest  Numbers are estimates and will vary slightly Month Pay Interest Monthly and Pay Principal at Maturity 15,000 2 3 4 5 6 7 8 9 105,000 115,000 12174,200 Total229,200

3. Household Financial Education Loans have many benefits 1. Pay over a longer period of time which makes it easier to purchase a latrine. 2. Learn how loans work in a low-risk way. This will prepare you if you decide to apply for a larger loan in the future. 3. Demonstrate to Kredit that you will repay your loan. This helps to build trust with the Kredit and makes future loans easier. 4. Easy and fast loan repayment in your village. 5. Movable collateral (moto, tractor, water pump, etc.) required but No group liability and No land/buildings required. 6. Taking a loan does not mean you are poor or uneducated. Taking a loan in a responsible manner is a sign of good financial planning. 7. Taking a loan from Kredit is less risky than taking a loan from an informal lender and less emotional than taking a loan from friends or family.

4. Household Financial Education Sample Repayment Schedule 0.8m Ring Package 1. Loan Size: 170,000R 2. Loan Term: 12 months 3. Monthly Interest Rate: 2.9% 4. Declining Balance Method 5. Option to pay loan back early and save on interest  Numbers are estimates and will vary slightly Month Pay Principal and Interest Monthly 119,100 218,700 318,300 417,900 517,500 617,100 716,700 816,300 915,900 1015,400 1115,000 1214,200 Total202,100