Alice N. is the leader of her lgroup. She is a married lady with a poultry business where she keeps both layers and broiler chickens (over 300 in total), as well as having a retail shop that contributes highly to her weekly income of 50,000 Ushs. As a result, Alice has been able to pay school fees for her children as well as to buy more household items like a sofa set and a sewing machine, which she uses to mend people’s clothes. She has a hope of developing her sewing business so as to have more avenues of money-making.
Alice needs a loan to help with buying chicken feed and stocking her shop.
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.