Isaac is a 30-year-old single man. He lives at Kwesimintsim a suburb of Takoradi. He trades in mobile phones and their accessories. He buys his supplies from importers at wholesale prices and gives to his customers at retail prices. He requests the loan to enable him to procure an increased stock of phones and phone accessories. He hopes to increase savings to expand his shop to enable him to support his brothers in school and also be able to travel outside the country to buy his goods. He belongs to the community group called Good Foundation Trust Group. In this group, members guarantee for one another as social collateral and assist one another to repay the loan.
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.