For example, Bibiana will invest in stuffed toys, Andrés in goats for barbeque, Inés, Rosa and Guadalupe in chickens and turkeys, Irineo and Adelina in their vegetable crops, Martha in her grocery store, Luis in his taxi and María in her piglets.
Juana who also forms part of this group relates that she has four children who are still minors; the oldest has just started secondary school. She’s been married 13 years and she’s 32-years-old. She lives in a borrowed house and her husband’s employed. The place they live in is the Las Peñas neighborhood that belongs to El Oro, México.
Juana sells plastic containers in all sizes and shapes. She usually sells to women. It’s good quality merchandise, not brand-name but durable nonetheless. For example, she carries sauce containers, lunch boxes, screw containers, drinking glasses and plates, among others. Juana says that sometimes it’s difficult to sell all her plastic wares because not all housewives venture to buy. She comments that the situation is very difficult and in order to sell and earn even a little profit she lowers her prices but does not like selling on credit because she runs the risk of some people not paying her. It’s also been hard to acquire customers because people might buy something from you at the moment and then after a month or two perhaps buy something else and this is why Juana wants to have a good stock of new merchandise on hand for her customers. There are newer, prettier styles of plastic ware than previous ones and this means that she will be able to sell them all. It’s advantageous for Juana to invest in packages and she comments that profits are higher that way and better for her because she doesn’t have to go restock so often. Her husband helps her occasionally to sell more quickly because he’ll sell to his friends at work.
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.
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