Sorn, 56, is married. Her family lives in a house with a thatched roof located in Battambang province’s Ek Phom district. The main sources of her family’s income are from making snacks for selling while her husband is a paid worker. She has been running her business for 15 years, earning about KHR 40,000 per day and she is able to save about KHR 20,000 each day.
Sorn received her first loan with Kiva’s partner, VisionFund, four cycles ago and has effectively used it to sustain her family’s business, and support her family’s needs. Now she is leading her group to seek another loan. Sorn, who is the leader, will use her portion to buy ingredients for making snacks. She hopes to earn more income to make a better 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.