Sughran bibi, wife of M. S., is the mother of six children. Their eldest son got his education till 9th standard, now he works in a workshop and repairs the engines of vehicles like cars, motorbikes. Their second son is doing lathe work. Their younger children help Sughran by taking care of her buffaloes. Her husband is a contractor. Sughran bibi has a clothing business which she started through her home and she sells them to neighbors. She successfully completed a loan from Asasah, a microfinance institution in Pakistan. She needs a loan for her clothing business. She hopes that if she makes some profit from the loan she’ll make something for her daughter’s marriage.
Yasmeen B. needs a loan to start a shuttering business. Naziran B. wants to start an ice business. Manzoran B. needs a loan to repair her rickshaw. Razia B. needs a loan to start a cassette business.
This is a group loan. The loan funds will be distributed among the group members, each of whom will invest in her own business. The members mutually guarantee one another's loans. If one member does not repay, the other members are responsible.
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.