Chhoeurm is married and a mother of seven children, two of whom are still in school and dependent on her. She lives in a local area of Battambang province’s Moung Russey district and she is 61 years old. To make a living, she manages four hectares of farmland to do rice farming as a main source of her family’s income. She has been involved in this current business for 30 years and the main challenge of her business is lack of capital to buy fertilizer for her farmland. This is the seventh cycle loan for Chhoeurm and she has completely repaid back her previous loans. The past loans have improved her business gradually. Now she has formed a group of three members to take out a new loan and she is the group leader. She and her group members are applying for a loan amount of 1,400,000 KHR each. As the leader, she will use her loan portion to buy seven sacks of fertilizer for her farmland and pay for plowing and transplantation fees. She hopes to increase more cash-crop yield than before to improve her family's standard of 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.