Group numbers 6 and 7 from the Shalom Bank of Hope have successfully repaid 4 loans to Esperanza International and will start their 5th loan cycle with this Kiva loan. Many of them sell food items and clothing. For most of their group members, providing a good education for their children (and advancing their businesses) proves to be their biggest challenge, one they are especially motivated to overcome. They know that education will allow them to do better in their businesses and/or become formal employees.
Teolinda L. is the group representative. She has 4 children, including a 6-month-old baby. She is just 24 years old. She knows that she is mainly responsible for her children’s well being, and therefore wants to have an income-generating activity that would allow her to stay at home and take care of them. She sells clothing from her home. Since a lot of her customers cannot afford new clothes, she will also start selling used clothing she can purchase by bundle (she will buy one with this loan) that are still in optimal condition. This will open her business to potential new clients, which will increase her profits. In the near future, she would like to expand her house to have wider space to exhibit her merchandise.
On behalf of Esperanza International, thank you for helping us support these entrepreneurs!
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.