Mrs. Sith Vong Village Bank Group

Fifteen people living in Trapeang Lean village in Takeo province comprise this village bank loan and they will use the loan for various purposes. Mrs. Sith Vong is a 59-year-old village bank president. She is a farmer who owns a 1-hectar field of land to cultivate rice. Her husband, Mr. Un Chhim, is a construction foreman. In his work, he needs some construction supplies to better his work. Thus, Mrs. Sith Vong decided to ask for a loan to buy construction supplies for her husband’s work. She has six children, two are employed in a garment factory while the other three are attending the local school and the last is too young to work or study.

Fourteen members in this group have end-of-term loans and the rest have monthly payment loans. End-of-term (EoT) loans are AMK’s main product because it is the most beneficial to Cambodia’s poor. It allows them to repay portions of the principal whenever they are financially able to. They are not required to pay any principal on the loan until the very end of the loan term. Most clients start to make payments many months before the end of the loan term. Almost all of AMK’s clients make their payments on time. AMK has a delinquency rate of only 0.09% and AMK has a default rate of 0% on Kiva.




About Group Loans
In a group loan, each member of the group receives an individual loan but is part of a group of individuals bound by a group guarantee. Under this arrangement, each member of the group supports one another and is responsible for paying back the loans of their fellow group members if someone is delinquent or defaults. Learn more

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