Kyeviiri N. is a very hardworking mother of six children, two of whom are still in school. She also helps care for four grandchildren. She has been selling produce in Ibanda town for over fifteen years. She gets some of the produce from her own garden and the rest from her fellow farmers who have no access to a ready market. The previous loans she has gotten have helped her with paying her children’s school fees, and this is why she has been able to send her eldest four through school while she continues to take on the rest of her responsibilities. She needs a loan to help with paying school fees for her school-going children as well as for employing labor on her farm.
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.