Grameen Bank

In 2001, the Grameen Bank modified the basic structure of their loans in response to changing economic conditions and an evaluation of their program. Underlying the changes from the Grameen Classic System to the Grameen Generalized System (also called Grameen Bank II) are the themes of individuality and flexibility. While still a part of the group lending model, borrowers in this new system are not subject to an overall group loan cap, but instead are eligible for increasingly larger loans based on their individual borrowing history. These loans can also be customized throughout the repayment period, if needed, with different payment schedules to help the borrower deal with an unexpected crisis. Savings play a much larger role in the program now as well, with more deposits than outstanding loans predicted by the end of 2003. These accounts, available for borrowers and non-borrowers alike, include a specific account for retirement, a regular savings account that can be accessed at any time, and a matched savings account with limited access.