A 31-year-old married woman named Chreb resides in a rural area of Kror Kor district located Pursat province in Cambodia. She has one daughter and two sons, all of whom are dependent on her. Of her children, two are currently in school. To offer a decent life for her family, Chreb works as a rice farmer on a hectare of farmland, earning around 9,000KHR per day and saving approximately 3,000KHR after offsetting her daily cost of living. Chreb's husband works as a fisherman in order to add more income to the family. Chreb has been with VisionFund for three loan cycles already, with which she succeeded in securing food needs for her family. In hope of helping her husband runs his business smoothly, Chreb is now leading a loan group of three members to take out a loan in the amount of 2,200,000KHR in total. This group representative (Chreb) will use the loan portion of her loan, which is 700,000KHR, to purchase fishing materials such as fish traps and cast net. With the help of this loan, Chreb hopes that her husband's business will provide greater income. She will use the income generated by her business and her husband's to improve the living conditions of her family and, most importantly, keep her children 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.