Village Bank Group

Mrs.Phin Dim is the Village Bank president, who was selected by the members. She is a farmer who owns a small piece of land to cultivate rice to earn a living. In this plantation, she cultivates rice in the dry season and her field now faces a small problem because it has infertile soil which has a bad affect on her crop. So she decided to ask for a loan to buy fertilizers to support the field and use the rest of the loan to buy fuel for her pump to water the field to make her crop more productive.

Her husband, Mr. Sim Thea, is a construction worker who can earn less income to support the family. Phin Dim is 36 years old and the mother of five children, three of whom are employed in a garment factory and the other two attend the local school.

This loan consisting of mainly end-of-term loans. Nine members have 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. 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 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