A resident from a rural area of the Ou Reang Ov district of Kampong Cham province, Cambodia, Heam is 57 years old and married with five children, one of whom is dependent on her and still in school. To make a living, Heam has been farming rice on five-hectare of farmland for 25 years and complements the family’s income by raising pigs. She is able to earn about 15,000 KHR per day and save about 7,000 KHR each day for future needs. Low price of her crop yield is the main challenge for her paddy-field.
Heam’s group consists of four female members; all of whom are first-time borrowers and requesting the same loan amount of 1,000,000 KHR each. As the leader, Heam is going to use her portion to buy fertilizer for her farmland and use a portion of it to buy pig feed. She hopes to grow her rice healthfully and fruitfully so as to make living better and keep her child in school.
About VisionFund Cambodia
VisionFund Cambodia is a Christian organization and microfinance institution that provides small loans and other financial services to improve the lives of children, empower poor women and their families, and grow successful businesses. The organization works primarily in rural parts of Cambodia and has distinguished itself by targeting the very poor who require smaller loan sizes, regardless of religious beliefs, gender or ethnic background.
Kiva lenders’ funds will help the organization to expand into the northeastern provinces of the country, which have historically been underserved and difficult to reach with financial services.
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.