Benita B. is a very young mother of one child. She is only 21 years old and has a son of 4 years. At this point she is living in extreme poverty and is also a single mother. She is requesting her second loan with Esperanza International (Kiva's Field Partner) and has a small business selling sweets in her neighborhood. Before her first loan, she had no steady income and needed a lot of help just to feed her child. She has experienced a little success with her first loan and feels that with this second loan she could really increase her business. For the first time in her life, she feels like she has something of her own and has a way to provide for her child. She is a very loving mother and much more mature than her years tell. She wants nothing more than a good life for her child, and wants someday to have her own house for her and her child. She is on the right path, and this next loan will help her take the next step!
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.