Ratha, aged 43, is a married woman with one daughter. Her daughter is staying with her and helping with the family's business, sweets and mixed fruit juice selling. Ratha has been running this business for 10 years while her husband earns extra income as a construction worker. Ratha received her first loan with VisionFund one cycle ago. The past first loan, which she has completely paid back, has enabled her business to move forward and build a proper house.
Her group consists of two female members--the other member is also a second loan cycle client. With a good business, she is applying for a new loan of 1,200,000 KHR. As the leader, Ratha will use her loan portion to buy more ingredients for making sweets including sugar, chicken's eggs, fruit, etc. She hopes that she can earn more income from the current business so as to expand her business bigger than before.
About VisionFund Cambodia
VisionFund Cambodia is a Christian organization and microfinance institution that provides small loans and other financial services to improve the lives of children, empower poor women and their families, and grow successful businesses. The organization works primarily in rural parts of Cambodia and has distinguished itself by targeting the very poor who require smaller loan sizes, regardless of religious beliefs, gender or ethnic background.
Kiva lenders’ funds will help the organization to expand into the northeastern provinces of the country, which have historically been underserved and difficult to reach with financial services.
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.