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What We do
Grameen America provides affordable micro-loans to financially empower low-income entrepreneurs.
Communities Served: Grameen America currently operates 3 branches in New York City (Queens, Upper Manhattan &
Brooklyn) and Omaha, Nebraska.
Group-Lending Model: One of the unique pieces of the Grameen model is our group-lending. Borrowers must form a
group of five peers to receive a loan. They meet each week with this group and a Grameen America Center Manager to
repay the loan principal, interest, and deposit savings. These weekly meetings create a platform of peer support where
borrowers can discuss successes and challenges of their businesses.
Products and Services:
Low-cost loans
Credit Establishment
Savings Program
Financial Education
Loans for Entrepreneurship: 100% of Grameen America microloans support income-generating activities.
Financial Education: Borrowers receive ongoing training in financial literacy through the weekly Center meetings
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Current Success
Variable Total
Total Borrowers 3,000
Loans Disbursed > $6MM
Savings Deposited1 ≈ $400,000
Maximum 1st Time Loan $1,500
Average Credit Score2 670
Interest Rate3 15% on a declining balance
1
All borrowers are required to deposit minimum of $2/week in savings
2 For borrowers that don’t have credit history, after 6 months of regular repayment with GA, scores reach 670
3 GA charges 15% on a declining balance. We do not charge any additional fees or application charges.
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How We Work
1 2 3
Mary, who lives below The group goes through an Upon successful completion of training and
the poverty line, selects initial 5-day financial opening a savings account, each borrower
and forms a group with training program; Each gets a small business loan to start or expand
4 other people she trusts borrower has to contribute a business and generate income
$2/day to savings
• Maximum first time loan - $1,500
• 6 -12 month loans
• 15% interest rate on a declining
basis
• No collateral required
Capital and Job
Growth
5 4
Grameen America offers
• Borrowers meet on a weekly
Financial a powerful poverty
basis with Grameen America’s
Education Savings alleviation tool that
Center Managers
builds on the following
• Meetings are held in borrowers’
key elements
homes or a nearby common
Capital Mentoring space
Credit
Building
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Professor Muhammad Yunus
Grameen America was founded by Professor Muhammad Yunus,
considered by many the “father of microcredit.”
For his work fighting poverty from the ground up in Bangladesh,
Professor Yunus and the Grameen Bank he founded won the 2006
Nobel Peace Prize.
On August 12, 2009 Yunus was awarded the 2009 Presidential
Medal of Freedom – the highest civilian honor a US President can
bestow – at the White House.
Started in January 2008, Grameen America represents Yunus’
mission: to bring Grameen microcredit to the US, where the need
for basic community banking for low-income families.
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Progress & Milestones
• January 2008 – Grameen America begins lending in Jackson Heights, Queens
• November 2008 – Grameen America reaches $1 million is loans disbursed
• May 2009 – New branches are launched in Brooklyn and Upper Manhattan
• June 2009 – New branch launches in Omaha, Nebraska
• August 2009 – Grameen America issues 1,000th microloan
• August 2009 – Founder Muhammad Yunus is awarded the Presidential Medal of Freedom by President Barack Obama at a
White House Ceremony
• November 2009 – Grameen America reaches 1,500 borrowers in the US
• November 2009 – A major New York Times photo-essay showcases the successes of six Grameen America borrowers
• January 2010 – Grameen America secures anchor funding from the Silicon Valley Bank to open in the San Francisco Bay Area
• April 2010 – Grameen America secures anchor funding from Capital One to support expansion into Washington D.C.
• May 2010 – Grameen America secures funding from Wells Fargo to support expansion efforts in San Francisco
• May 2010 – Grameen America reaches 3,000 borrowers in the United States
• May 2010 – Grameen America celebrates Grand Opening of Manhattan Branch
• Summer 2010 – Expected launch of Grameen America San Francisco Bay Area branch
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Contact Information
For More information please contact:
Katherine Rosenberg
Director, Communications, Education & Evaluation
krosenberg@grameenamerica.com
212-735-4023
www.grameenamerica.org
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