Mrs. Navy Bun Village Bank Group

Eleven people in Boeng Tras village, in Kampong Cham province, have formed a village bank loan group and Mrs. Navy Bun is the village bank president. She owns a small restaurant where she sells rice soup as a breakfast food to the villagers. Her husband, Mr. Kul Saroeun, is a fisherman who catches a small quantity of fish to support the family. In order to catch more fish, Mrs. Navy Bun is requesting a loan to buy more fishnets for her husband. She hopes to increase their income and improve their living conditions with this loan. She is 48 years old and the mother of three children, two of whom are fishermen while the other is a grocer, who owns a small store.

Four members in this group loans are end-of-term loans and the rest have monthly payment loans. They are not required to pay any principal on the loan until the very end of the loan 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 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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