Maxa baji is the wife of H. M.. (Baji is an Urdu term meaning "eldest sister".) They have lived in the small city of Burewala in Pakistan for the last seven years. The family lives in a two-room brick house. There are four children; one daughter and three sons.
Her husband runs a grocery store. Maxa is requesting a loan for her husband so that he is able to diversify the products he offers in his store and increase the profits.
She has four other women in her loan group.Fozia baji wants a loan for embroidery business; Rubina baji would like a loan for her crockery store; Nasreen baji wants to buy an auto-rickshaw and Sughran baji is requesting a loan for her vegetable business.
The loan will be distributed among the group members, each of whom will invest in her 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.