Fifty-one-year-old Seng Ann is a villager living in Kampong Cham province’s Ponhea Krek district in Cambodia. She is a widow and a mother of two children. This hard-working single mother works many jobs in order to provide a decent life for her family: She farms rice, works for others as a paid worker, and sells grocery items. Each day, she is able to earn around 18,000 KHR and save approximately 6,000 KHR for future needs after canceling out the daily cost of living.
Seng Ann has been with VisionFund (Kiva’s partner) for a loan cycle already, with which she accomplished securing her family’s finances. She is now leading a female group member, who also has been with VisionFund for a loan cycle, to seek a loan in the amount of 1,000,000 KHR each. Seng Ann will use her loan portion to pay wages to farm laborers to harvest rice and to purchase more grocery items to sell. Seng Ann's biggest hope is to be able to sufficiently support her family.
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.