“On ‘Black Wednesday’ (August 22, 2007), we alerted our users that not all of their funds made it to the intended recipients. Furthermore, we issued a refund for the full amount of the WITEP loss. Thankfully, by that time we had reserved enough cash
to cover the full amount of the refund. The reaction from our user base was telling. Overwhelmingly, they thanked us for our honesty and poured their refunds back into loans to other MFIs on the site. They reinforced an important lesson: whenever possible, be completely transparent. Transparency pays huge long-term dividends.” (>>)