The Village Bank consists of 29 people and is located in Traeuy Troeng Village in Kandal Province; they plan to use the loan differentL.. For instance, Mrs. Tork L. is the village bank president who is a pig breeder and raises ten pigs. Since her pigs are growing bigger and bigger, she does not have enough money to buy pig food to feed her pigs. Thus, Mrs. Tork L. has decided to ask for a loan to invest in more food for her animals. Her husband, Mr. Lin Nget, is a farmer who owns a hectare to cultivate rice. Mrs. Tork L. is 55 years old and the mother of three children, one of whom is a rice wine maker while the others are attending the local school. The three men who are in the picture are requesting the loan on behalf of their wives.
This is a village bank loan consisting of mainL. end-of-term loans. One member has end-of-term loans and the rest have monthL. payment loans. This member is not required to pay any principal on the loan until the very end of the loan term. End-of-term (EoT) loans are AMK's main product because it is the most beneficial to Cambodia's poor. It allows them to repay portions of the principal whenever they are financialL. able to. Most clients start to make payments many months before the end of the loan term. Almost all of AMK's clients make their payments on time.
Angkor Microfinance Kampuchea (AMK) is a leading microfinance institution in Cambodia with a wide reach of operations. AMK works with over 6,000 villages and serves clients in every Cambodian province. With an average loan size of US$115, AMK’s focus is to provide credit and savings products to the very poor in rural areas. For more information, please visit AMK's website.
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.