Group Loan

What is a Group Loan?

A Group Loan is a community-based lending model where a group of individuals collectively apply for and guarantee a loan. Each member receives their portion, and the group collectively ensures repayment.

Who is it For?

• Self-Help Groups (SHGs)
• Women's groups and committees
• Community organizations
• Joint Liability Groups (JLGs)

Key Benefits

• No individual collateral required in many cases
• Group support and accountability
• Access to credit for underserved communities
• Building credit history for group members