In the event that you collect repayment on a loan that was previously defaulted, you must report the repayment in PA2, so that it can be settled out to Kiva lenders. The process for reporting a repayment on a defaulted loan is the same as reporting a repayment on any other loan. For instructions on how to report repayments, see Managing Repayments.
The loan will remain in “defaulted” status unless it is reported as fully repaid, in which case it will move into “ended” status.
When a loan goes under issue, a pink banner appears on the Home page of PA2 and you will see it when you log in to the site. On the 20th of the month, Kiva sends the Kiva Coordinator an email reminder about any issue loans that are awaiting correction. The partner should review issue loans more frequently than one time per month, but the email will not go out more than that.
Loans should be marked as defaulted by an MFI staff member or Kiva staff member (depending on your arrangement with your FSS) as soon as collections on the loan are stopped or if the amount collected is less than the amount expected as of 6 months ago. The loan should be marked as defaulted in the earlier of these two circumstances.
To mark a loan as default - search for the loan in PA2 and click the "default" button on the right side. After clicking this button, you must search for the loan again and post a journal explaining the reason for default.
To begin, you will need to create a CSV (Comma Separated Values) file with repayment information for each Kiva borrower as of the last day of the previous month. A CSV file can be created using either Microsoft Excel or another spreadsheet tool.
The required format for the CSV file is as follows: