M. Nalongo is the leader of the Mabira group that has been together for 10 years. She is a hardworking and talented lady when it comes to sales and this is why her retail shop business is doing well. Her shop mainly sells soda, juice and mineral water in Najjembe, Mabira. She sells to customers in the stopping vehicles along the highway. You find that most of Nalongo’s customers show up once in a while but because there are so many cars on the highway, this does not matter so much to her, most especially now that she employs girls and boys to do the selling since they have speed. Nalongo is married with eight children, three of whom are still in school, while she cares for two dependants. She needs a loan partly for paying school fees as well as to buy more crates of soda and mineral water for her stock.
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.