Ghulam S., the leader of this group, is married with six children. She has been married for 23 years and for that time has lived in the small city of Depalpur, Pakistan, where her husband runs a pharmacy. They have already successfully borrowed two loans from a microfinance institution called Asasah in Pakistan, which were both used to improve their pharmacy. These loans helped to increase their income substantially. In this group are several other women who are also in need of loans: Anwer B., whose husband farms a rented piece of agricultural land; Zahida B., who wants a loan for her husband who is a builder; and Khursheed B., whose husband runs a grocery store. Altogether, they are requesting a loan of $1,000.00 which will be divided between them.
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.