Mrs. Hon Orm Village Bank Group

Fifteen people who are all living in Ta Sman village in Takeo province is made up the village bank loan. Mrs. Hon Orm is a village bank president who has been selected the members and they all will use the loan in different purposes. She is a pig breeder. Her husband, Mr. Kaem Lounh, is a farmer who owns a small piece of land to cultivate rice and vegetables. In this plantation, he faces an obstacle because his field is infertile soil. Thus, Mrs. Hon Orm decided to ask for a loan to buy fertilizer to support the rice field and she would use the rest of money to buy a battery for her family. She is 42 years old and the mother of six children, one of whom is a mirror cutter while the others two are sellers and the others are attending the local school.
All the members in this group loan are end-of-term loans so they are not required to pay any principal on the loan until the very end of the loans term. 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. Most clients start to make their payments many months before the end of the loan term. Almost all of AMK’s client 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

Subscribe