Mrs. Somaly Lung Village Bank Group

Thirty-one people living in Sdau Kanlaeng village in Kandal province comprise this village bank loan, and they will use the loan for various purposes. Mrs. Somaly Lung is a 42-year-old village bank president. She is a hard working woman. She also is a pig breeder. Since her business is doing well, she wants to expand it by purchasing more piglets for breeding. She is a widow with three children, one of whom is employed off the farm while the others are attending the local school.

Five 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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