Mrs. Sann Chao Village Bank Group

Nineteen people, living in Tuol Khsach village in Kampong Cham province, comprise this village bank loan, and they will use the loan for various purposes. Mrs. Sann Chao, the 63-year-old village bank president, is a farmer who owns a small piece of land to cultivate vegetables. Her husband, Mr. Muon Vanny, helps her in her small farming business. They face an obstacle because they do not have enough money to buy fertilizer to support their field. To deal with this problem, Mrs. Sann Chao is asking for a loan to buy fertilizer for the fields, and she would use the rest of loan to purchase fuel to water the field to make her crops more productive. She is the mother of three children who are employed in a garment factory.

One member in this group has a loan that is end-of-term, 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 do so. 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 loans.




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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