Poverty is a huge problem in developing countries in supporting the quality life of the poor households. Millions of poor households living around the world have been facing hunger, homeless, powerlessness, joblessness and isolation not only because of internal factors, but also external factors, like economics, socio-cultural, government policy, health and access to education. Thus, the local micro credit system is a powerful tool for poverty reduction in developing countries in terms of helping poor people overcome poverty. This paper aimed to identify local micro credit that has effects on the poor people's household. Selecting a data sample was a purposive sample by defining poor households living in the Yala community, 615 households and also using technique qualitative research by interviewing community leader including information primary data combine in analysing. The research findings were as follows; factors affecting poor households were significant after receiving a loan from the local micro credit; namely, it’s the local micro credit which could be upgraded their income monthly. Size credit helps poor households make them have a better life due to leading loans for career prosperity. Households paid for purchasing goods and farmer tools. Repayment was equal and just based on brotherhood in each other and making them have self-saving after using the local micro credit. These all factors were directly influenced and had effects on poor households with significant value at 0.01.