Residing in Thmor Koul district of Battambang province, Mom is a parent of two kids. For her family, corn growing is the primary source of income, which has returned about 40,000 KHR per day from the business. Mom has been doing this business for 10 years. With VisionFund (Kiva’s partner), she is a sixth-cycled client, including this loan. Mom can afford to cover the three decent meals for her kids sufficiently; this positive impact is a result from the successful past loans which she has repaid back completely. Now, she forms a group of two to apply for a new loan of 1,200,000 KHR each. As the leader, Mom will spend her loan portion to buy insecticide for her farmland. She hopes that she can minimize the loss due to pests which used to lower crop yield, and get back a good yield this time.
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.