The group Loan (GL) is a loan forming a joint-liability group of 2-4 members among their community members. This loan product provides to people who need funds for income generation or consumption. This loan product allows flexibility of payment with a maximum term of 24 months and loan up to KHR 6,000,000 or USD 1,500 per member.

FARMER Finance Ltd. provides group guarantee loan composed of two to seven members. Group guarantee loan has specific purpose and benefits to clients such as:

• To reach a large number of people;

• The poor who have no collateral can make group guaranteed loan;

• Help develop people’s skills, relationships and confidence through participation in groups;

• Provide faster and more efficient services to clients by reducing transaction costs;

• Improve collection process by having groups help with record keeping and collecting cash

• Reduce credit risks because group member will guarantee payment in case of arrears;

• Help to ensure that only good clients borrow as the groups are self-selecting.