S. Jamadah is the leader of his lending group in Mubende. He is 30 years old, married and has 4 children, 3 of whom go to school. He also takes care of dependants. Jamadah sells maize and beans from the roadside market in Nabingola. Jamadah also sells cattle that he buys from the villages and sells to the township for meat and rearing. He is a committed and honest man and, in a month, he is able to make a profit of 190,000/= from produce and cattle sales. Jamadah felt that this was the easiest and most convenient business for him to do and does not regret his decision to do this. He needs a loan to be able to buy more beans and maize for resale. He believes that this will help him pay his children’s school fees as he has managed to build a house out of his savings.
This is a Group Loan
In a group loan, each member of the group receives an individual loan but is part of a larger group of individuals. The group is there to provide support to the members and to provide a system of peer pressure, but groups may or may not be formally bound by a group guarantee. In cases where there is a group guarantee, members of the group are responsible for paying back the loans of their fellow group members in the case of delinquency or default.
Kiva's Field Partners typically feature one borrower from a group. The loan description, sector, and other attributes for a group loan profile are determined by the featured borrower's loan. The other members of the group are not required to use their loans for the same purpose.