Many credit facilities and commercial banks do not incorporate the very small scale community into their lending programs for fear of losing their security and creditworthiness. Therefore B.E.E.P operates under the Revolving Loan Fund Scheme that works best on a group basis, that is with individuals loan guaranteed by group members who have a strong bond and where loans are linked to a saving component. In this situation, borrowing becomes a right for the group members who have accumulated savings.
Members of the group save their money on a monthly basis that acts as shares in the group.
Under the Revolving Loan Fund, the members of the group are eligible to borrowing after accumulated savings over a period of time
The group members are expected to save their money on a monthly basis which act as shares in the group.
The group members with accumulated savings are eligible for long term loans that are payable on a monthly basis and at a specific period of time
The group members with accumulated savings are eligible for short term loans called advances that are payable on a monthly basis within three months.
