the defaults gotta create five - member groups that , each with the bank ' s field working , closely oversees the projects . pressure pressure substitutes for collateral because the team ' s first two subprime have to start repaying the principal plus interest over a one - days cycle before the other one can take out loans . the loan rate is fixed at 16 percent .
The first two borrowers must start repaying the principal plus interest over a six-week period.