Mussarat baji, 28, is married and has lived in Borewala, Pakistan for the past 5 years. Mussarat baji is the wife of R. A. who is a carpenter and makes wooden furniture to order. Mussarat baji is the mother of four children: three sons and one daughter. All of her children attend the local school. Mussarat baji is a very hardworking lady. She prepares embroidered dresses and charges $3 per dress. She uses her income to pay her children's school fees. She is applying for a loan to buy material (wood and furniture polish) so her husband can complete the orders of his customers.
She is the group leader of the following women:
Mukhtaran baji, who wants a loan to buy a donkey cart for loading.
Zahida parveen and Suraiya baji, who each want a loan to buy groceries for their grocery shops.
Sakina baji, who wants a loan to buy wood to sell.
This is a group loan. The loan funds will be distributed among the group members, each of whom will invest in her own business. The members mutually guarantee one another's loans. If one member does not repay, the other members are responsible.
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.