Group Loan through Microfinance policy has become a very popular practice in numerous developing countries like India, Bangladesh, Thailand and many African nations. Here people don't need to apply for loan individually. Instead they organize themselves as the self-help group and take the loan. This loan product in Microfinance is meant to provide working capital to micro entrepreneurs with small businesses that are usually unregistered and rely on group guarantor ship as substitute for collateral. All group members are responsible for repayment. Microfinance Group loan is devised for micro-entrepreneurs, labour class, women & farmers who are living in urban and rural areas.