We never wipe out old loans, but convert them into very long term loans and try to get the borrower to pay them off more slowly and in smaller installments. In the extreme case where a borrower dies, we disburse funds from the Central Emergency Fund (a life insurance fund for borrowers) to the deceased’s family as soon as possible. We then ask the group or center to adopt a new member from that same family to bring the group number back up to five.
