Ghulam Fatima baji is the wife of M. N. who is a fruit seller by profession. Fatima baji has been a citizen of Vehari, Pakistan for the last 10 years. She is the mother of five kids: four sons and one daughter. All of her kids are getting an education at a school located near her house. Fatima baji’s husband sells fruit on a cart. He shouts out in different areas, so that people hear his voice and buy fruit. He has been in this business for the last five years. Fatima baji is a very hardworking lady. She keeps herself busy with her clothing business. She sews clothes to pay off the school fees of her kids and to share the financial burden with her husband. She is applying for a loan to buy seasonal fruit to expand her husband’s fruit-selling business.
She is the group leader for other women in her location. Shahnaz parveen baji wants a loan to buy cosmetics to sell. Farzana baji wants a loan to buy electrical supplies (electric wires and switches) to sell. Sana rubab baji wants a loan to buy a movie camera for her movie-making business. Rafia baji wants a loan to buy a donkey for her donkey cart.
This is a group loan. The loan funds will be distributed among the group members. Each member 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.