Denis, a married man with five children, found a need for entertainment in his village and seized the opportunity to start a video hall. He works all the days of the week to maximise profits from his video hall. He operates in an area with no electricity, and his challenge has been the expense of the generator, which keeps breaking down affecting service delivery to his customers. He thanks UGAFODE for coming to his rescue and that of other group members. He believes this loan will take them to new milestones. His service delivery, in particular, will increase and so will his income as a result of the new generator he will buy using the loan money. He is hardworking and social.
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.