Thirty-nine year old David K., who belongs to Nsaggu Akugoba Women’s group-Mpigi, has been in general merchandise retailing for the last 7 years. Self-motivation is what made him an upstart in this business, he is so endeared on the basis that he and his family have met financial from the business. David values his hard work and it’s the sole reason he says he has achieved this longevity. David is happily married with 4 kids. In a week, his business generates him shillings 100,000, and with this loan he is looking at purchasing more bags of sugar, salt, beans, rice, bread, and plastics for resale.
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.