Lisa, I had this same situation - a default for $25. It seems the bank or microfinance institution should 'eat' these, not us. It seems quite hypercritical that our money goes into a group fund at these institutions instead of to the individuals we select, but then when the person we select defaults, the loss goes directly to us. We are shouldering the risk without the direct connection benefit that we thought we were getting.
However, I am going to think about this one a little more before stopping with KIVA, because I still do believe in microfinancing in general, and no one seems to be questioning that KIVA facilitates a lot of amazing loans. I just think they need to do some major explanations on their website now...So personally, I am not opposed with continuing the ads on BellaOnline, but I also support whatever decision you make...
