Residing in the local area of Tbaung Khmum district of Kampong Cham province, Sokhom is 32 years old and has three children. She and he husband make a living through slaughtering cows as the main source of family income. She has engaged in the current business for 10 years and is able to earn up to 36,000 KHR per day. This is not the first loan for Sokhom with VisionFund (Kiva’s partner). She has completely repaid back her past loan with success, and it has improved her living with a positive outcome. For this cycle, she is in a group of three to apply for a new loan. As the group leader, she will use her loan portion to buy cows for slaughtering for resale. She hopes to make more income and stabilize her living.
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.