“Poor households still depend on informal sources of credit.” -SST 10th

“Poor households still depend on informal sources of credit.” -SST 10th
by

1 Answer

Answer :

Poor Households still depend on informal sources of credit because:- . Banks are not present everywhere on rural area. . Even when they are present getting a loan from the bank is much more difficult than tabbing a loan from informal sources. . Mega banks or public sector banks require proper documents and collateral. . Absence of collateral is of one of the major reasons which prevent the poor from getting bank loans. . Informal lenders such as money lenders they know the borrowers personally and they are willing to give a loan without collateral.
by

Related questions

Why are poor households still dependent on informal sources of credit? -SST 10th

Description : Why are poor households still dependent on informal sources of credit? -SST 10th

Last Answer : Reasons: . Banks are not present everywhere in rural India. . Even if they are present, getting a loan from a bank is much more difficult than taking a loan from informal sources. ... charge very high rates of interest, keep no records of the transactions and harass the poor borrowers.

“Most of the poor households are still dependent on informal sources of credit.’’ -SST 10th

Description : “Most of the poor households are still dependent on informal sources of credit.’’ -SST 10th

Last Answer : (i) Banks are not present everywhere in rural India, whereas informal sources are easily available in all villages. (ii) Getting a loan from a bank is much more difficult for poor ... relatives, or traders and landlords, who know the borrowers personally and therefore do not demand collateral.

“Most of the poor households still depend on the informal sector for loans, both in rural and urban areas of India”. Support the statement with three examples. -SST 10th

Description : “Most of the poor households still depend on the informal sector for loans, both in rural and urban areas of India”. Support the statement with three examples. -SST 10th

Last Answer : '(i) Banks are not present everywhere in rural India. Even when they are present, getting a loan from a bank is much more difficult than taking a loan from informal sources. ... collateral. The borrowers can, if necessary, approach the moneylenders even without repaying their earlier loans.

What is the main informal source of credit for rural households in India ? -SST 10th

Description : What is the main informal source of credit for rural households in India ? -SST 10th

Last Answer : The main informal source of credit is moneylenders for the rural households in India.

Why do the rural borrowers depend on the informal sector for credit? -SST 10th

Description : Why do the rural borrowers depend on the informal sector for credit? -SST 10th

Last Answer : The rural borrowers depend on the informal sector for credit because : (i) Absense of collateral and documentation with rural borrowers. (ii) Flexible loans in term of timelines, interest rates, procedural ... the group is regular in savings for year or two, it can avail loan from the bank.

“The rich households are availing cheap credit from formal lenders whereas the poor house holds have to pay a heavy price for borrowing.” -SST 10th

Description : “The rich households are availing cheap credit from formal lenders whereas the poor house holds have to pay a heavy price for borrowing.” -SST 10th

Last Answer : . The formal sector still meets only about half of the total credit needs of the rural people. . The remaining credit needs are met from informal sources. . Most loans from informal lenders ... the rich households who receive formal credit whereas the poor have to depend on the informal sources.

Cheap and affordable credit is essential for poor households both in rural and urban areas.' -SST 10th

Description : Cheap and affordable credit is essential for poor households both in rural and urban areas.' -SST 10th

Last Answer : Cheap and affordable credit is essential for poor households: 1. The informal sector lends at a high-interest rate in rural areas so the cost for the borrower is much more. 2. When the cost of borrowing ... where the amount to be repaid is more than the borrower's income and he has to borrow more.

What are differences between formal and informal sources of credit? -SST 10th

Description : What are differences between formal and informal sources of credit? -SST 10th

Last Answer : Formal sources: 1.These sources of credit are registered by the government and have to follow its rules and regulations. 2.RBI supervises the functioning of formal sources of credit. 3.They ... main motive is profit-making. Example: Moneylenders, traders, employees, relatives and friends, etc.

Differentiate between formal and informal sources of credit. -SST 10th

Description : Differentiate between formal and informal sources of credit. -SST 10th

Last Answer : Difference between Formal and Informal Sources

Mention four characteristics each of the formal and informal sources of credit in India. -SST 10th

Description : Mention four characteristics each of the formal and informal sources of credit in India. -SST 10th

Last Answer : Features of formal sources of credit are : (a) Formal sources of credit are provided by banks and cooperative societies to the borrowers. (b) Reserve Bank of India (RBI) governs the ... . (d) They generally charge higher rates of interest and exploit the borrowers for their own benifits.

What is necessary to reduce the dependence on informal sources of credit in rural areas? -SST 10th

Description : What is necessary to reduce the dependence on informal sources of credit in rural areas? -SST 10th

Last Answer : It is necessary that banks and cooperatives increase their lending in the rural areas.

What are the drawbacks of informal sources of credit? -SST 10th

Description : What are the drawbacks of informal sources of credit? -SST 10th

Last Answer : (i) Most of the informal lenders charge a much higher interest on loans. Thus the cost to the borrower of the informal loans is much higher. (ii) Higher cost of borrowing means a larger part of ... might wish to start an enterprise by borrowing may not do so because of the high cost of borrowing.

Differentiate between formal and informal sources of credit. Explain problems faced by borrowers of loan from informal sources. -SST 10th

Description : Differentiate between formal and informal sources of credit. Explain problems faced by borrowers of loan from informal sources. -SST 10th

Last Answer : The moneylenders charge very high rates of interest keep no records of transactions and harass the poor borrowers.

Explain the differences between Formal and Informal Sources of Credit. -SST 10th

Description : Explain the differences between Formal and Informal Sources of Credit. -SST 10th

Last Answer : The differences between Formal and Informal Sources of Credit are :-

Why are most of the poor households deprived of the formal sector of loans ? -SST 10th

Description : Why are most of the poor households deprived of the formal sector of loans ? -SST 10th

Last Answer : The absence of proper documents and collateral deprive most of the poor of credit facilities extended by the formal sector.

Why are most of the poor households deprived from the formal sector of loans ? -SST 10th

Description : Why are most of the poor households deprived from the formal sector of loans ? -SST 10th

Last Answer : They are deprived from the formal sector of loans because of : (i) Lack of collateral. (ii) They are illiterate. (iii) They cannot fulfil the formalities of the formal sector of loans.

Which one of the following is the main source of credit for rich urban households in India ? -SST 10th

Description : Which one of the following is the main source of credit for rich urban households in India ? -SST 10th

Last Answer : A - The rich urban households are usually more educated, and are thus aware of the fact that the banks give loans on a lower rate of interest. They also have better access to banks, and are not deterred by paperwork unlike the poorer sections of society.

“The credit activities of the informal sector should be discouraged.” -SST 10th

Description : “The credit activities of the informal sector should be discouraged.” -SST 10th

Last Answer : The credit activities of the informal sector should be discouraged because: . 85% of loans taken by the poor households in the urban areas are from informal sources. . Informal lenders ... increasing debt and debt trap, therefore the credit activities of the informal sector should be discouraged.

The credit activities of the informal sector should be discouraged.' Support the statement with arguments. -SST 10th

Description : The credit activities of the informal sector should be discouraged.' Support the statement with arguments. -SST 10th

Last Answer : The credit activities of the informal sector should be discouraged due to the following reasons - 1. There is no organization which supervises the credit activities of lenders in the informal ... Therefore, the formal sector needs to play an increasing role in extending the facilities of credit.

Why should the banks and cooperatives societies provide more loan facilities to the rural households in India? -SST 10th

Description : Why should the banks and cooperatives societies provide more loan facilities to the rural households in India? -SST 10th

Last Answer : The banks and cooperative socities more lian facilties to the rural houshold in india its reason are 1. the formal source of credit is low interest rate to the poor household 2. the poor houshold taking ... to banks 4. the formal source of credit is not discriminated the rich and poor hope it help!

Ties between members of households loosened in Britain in the era of industrialization. -SST 10th

Description : Ties between members of households loosened in Britain in the era of industrialization. -SST 10th

Last Answer : In the 18th century, the family had been a unit of production and consumption as well as of political decision-making. There was a big change in the newer pattern. (i) Ties between members of ... by experience of the war time and partly work done by the women who were employed in large numbers.

All followings are poor sources of iron except (A) Milk (B) Potatoes (C) Wheat flour (D) Liver

Description : All followings are poor sources of iron except (A) Milk (B) Potatoes (C) Wheat flour (D) Liver

Last Answer : Answer : D

The poor sources of vitamin D: (A) Eggs (B) Butter (C) Milk (D) Liver

Description : The poor sources of vitamin D: (A) Eggs (B) Butter (C) Milk (D) Liver

Last Answer : Answer : C

Would a priority system for each households power help a power grid?

Description : Would a priority system for each households power help a power grid?

Last Answer : I’d make freezer and fridge number 1 and internet number 2. My bathroom has a window so it’s not as big of a deal.I also keep lots of LED flashlights handy just in case of power failure. Not perfect, but it works

Do you think that screenless households exist?

Description : Do you think that screenless households exist?

Last Answer : Maybe but highly unlikely.

Is it tacky to buy 2 grandkids, from 2 different households, who are about the same age, the same gift (a toy) for *********?

Description : Is it tacky to buy 2 grandkids, from 2 different households, who are about the same age, the same gift (a toy) for Christmas?

Last Answer : If you think they would both like the toy, then no, of course not.

In Asian households does anyone steal their shoes?

Description : In Asian households does anyone steal their shoes?

Last Answer : Karma, sense of community, duty, dogma, shame, obedience, fear of consequences, possibly including ill-fitting shoes that smell like someone else’s feet.

In Pa are there any agencies that give kerosene vouchers for low income households?

Description : In Pa are there any agencies that give kerosene vouchers for low income households?

Last Answer : silky1 Do you have HEAP in PA? I'll go look for you. Try typing PA heating assistance in BING. I came up with a bunch, such as LIHEAP, Fuelassistance.com, and citizensenergy ... //www.dpw.state.pa.us/foradults/heatingassistanceliheap/index.htm http://citizensenergy.com/english/pages/130/pennsylvania

What are the stats on the percentage of American households that actually have in-home internet access?

Description : What are the stats on the percentage of American households that actually have in-home internet access?

Last Answer : 239,893,600 Internet users as of June/10, 77.3% of the population, according to ITU. http://www.internetworldstats.com/am/us.htm

What percentage of households have dogs in the US? Other countries?

Description : What percentage of households have dogs in the US? Other countries?

Last Answer : The American Veterinary Medical Association estimates that 36.1% of U.S. households have dogs (37.9 million households in 2002).

To the peeps who grew up in strict households , how is life now?

Description : To the peeps who grew up in strict households , how is life now?

Last Answer : More stressful than before

How many American households play video games? -Gaming

Description : How many American households play video games? -Gaming

Last Answer : Over 164 million adults in the United States play video games and three-quarters of all Americans have at least one gamer in their household.

19. Which famous work of literature opens with these lines? “Two households, both alike in dignity, in fair Verona, where we lay our scene…” -Music and Art

Description : 19. Which famous work of literature opens with these lines? “Two households, both alike in dignity, in fair Verona, where we lay our scene…” -Music and Art

Last Answer : 19. Romeo and Juliet – William Shakespeare

In a survey, it was found that 9 out of every 11 households -Maths 9th

Description : In a survey, it was found that 9 out of every 11 households -Maths 9th

Last Answer : 2/11 = 0.18(recurring), Non terminating repeating. People are becoming more social, helpful, cooperative and caring.

Are the use and consumption of marijuana are allowed and authorized only in private households?

Description : Are the use and consumption of marijuana are allowed and authorized only in private households?

Last Answer : It depends on where you are. Here in the Philippines, it is not allowed. Once they caught you with Marijuana onhand, they will imprison you.

In 2003 the top 20 or wealthiest fifth of U.S. households earned?

Description : In 2003 the top 20 or wealthiest fifth of U.S. households earned?

Last Answer : Need answer

What information about the two households in presented in the prologue In what ways does Juliet and Comment in Act 1 scene vlines 137 8 echo the prologue?

Description : What information about the two households in presented in the prologue In what ways does Juliet and Comment in Act 1 scene vlines 137 8 echo the prologue?

Last Answer : Need answer

What factor determines how much households can spend on final goods and services?

Description : What factor determines how much households can spend on final goods and services?

Last Answer : Need answer

What percentage of households have their dining table in their kitchen?

Description : What percentage of households have their dining table in their kitchen?

Last Answer : In one survey they found that approximately 32% of homes have the dining room table in their kitchen, these results did not include those with breakfast bars or islands.

What are the best power generators for households?

Description : What are the best power generators for households?

Last Answer : You should look for back up power generators that have sufficient wattage and power to run the appliances that you need most. Also take into consideration the warranty, the reputation of the brand as well as noise the level of the generator.

In the circular flow model, households supply firms with which of these items?

Description : In the circular flow model, households supply firms with which of these items?

Last Answer : labor, capital, and resources

In the circular flow model, households supply firms with which of these items?

Description : In the circular flow model, households supply firms with which of these items?

Last Answer : labor, capital, and resources

Interest on public debt is a part of : (1) transfer payments by the enterprises (2) transfer payments by the Govt. (3) national income (4) interest payments by households

Description : Interest on public debt is a part of : (1) transfer payments by the enterprises (2) transfer payments by the Govt. (3) national income (4) interest payments by households

Last Answer : (2) transfer payments by the Govt. Explanation: In economics, a transfer payment (or government transfer or simply transfer) is a redistribution of income in the market system. These ... interest on public debt, social security, and government making subsidies for certain businesses (firms).

Interest on public, debt is part of - (1) Transfer payments by the enterprises (2) Transfer payments by the government. (3) National income (4) Interest payments by households

Description : Interest on public, debt is part of - (1) Transfer payments by the enterprises (2) Transfer payments by the government. (3) National income (4) Interest payments by households

Last Answer : (2) Transfer payments by the government. Explanation: In economics, a transfer payment (or government transfer or simply transfer) is a redistribution of income in the market system. These payments ... central government. In the budget, it is listed among the transfer payments by the government.

Committee on Comprehensive Financial Services for Small Businesses and Low Income Households, headed by ________ recommended the formation of a new category of bank called payments bank. A. NR Madhawan Menon B. Bimal Jalan C. Nachiket Mor D. Y.H. Melagam E. None of the Above

Description : Committee on Comprehensive Financial Services for Small Businesses and Low Income Households, headed by ________ recommended the formation of a new category of bank called payments bank. A. NR Madhawan Menon B. Bimal Jalan C. Nachiket Mor D. Y.H. Melagam E. None of the Above

Last Answer : C. Nachiket Mor Explanation: Committee on Comprehensive Financial Services for Small Businesses and Low Income Households, headed by Nachiket Mor recommended the formation of a new category of bank called payments bank.

UPS is now widely use in households. What does UPS stands for ? A. Uniform Power Storage B. Universal Product Support C. Under Panel Storage D. Uninterruptible Power Supply (Answer)

Description : UPS is now widely use in households. What does UPS stands for ? A. Uniform Power Storage B. Universal Product Support C. Under Panel Storage D. Uninterruptible Power Supply (Answer)

Last Answer : D. Uninterruptible Power Supply (Answer)

Macroeconomics is a study of economics that deals with which 4 major factors: a) households, firms, government, and demand-supply b) households, firms, government and external sector c) firms, government, free-market, and regulations d) none of the above

Description : Macroeconomics is a study of economics that deals with which 4 major factors: a) households, firms, government, and demand-supply b) households, firms, government and external sector c) firms, government, free-market, and regulations d) none of the above

Last Answer : b) households, firms, government and external sector

Campbell offers "Soup for One" to small households. In this instance, the firm is conducting segmentation based on : A)income B)ethnicity C)taste D)geographic considerations E)family life cycle

Description : Campbell offers "Soup for One" to small households. In this instance, the firm is conducting segmentation based on : A)income B)ethnicity C)taste D)geographic considerations E)family life cycle

Last Answer : E)family life cycle

A spending pattern that indicates the annual amounts households spend for particular VU Cafeteria products within a general product class is called: A)a consumer spending pattern B)a product specific spending pattern C)a behavioural spending pattern D)a comprehensive spending pattern E)an average spending pattern

Description : A spending pattern that indicates the annual amounts households spend for particular VU Cafeteria products within a general product class is called: A)a consumer spending pattern B)a product ... C)a behavioural spending pattern D)a comprehensive spending pattern E)an average spending pattern

Last Answer : b)a product specific spending pattern

Why do we need to expand formal sources of credit in India? Give three reasons. -SST 10th

Description : Why do we need to expand formal sources of credit in India? Give three reasons. -SST 10th

Last Answer : . The cost of informal loans is much higher and often leads to a debt trap. Also, people who might wish to start a new enterprise by borrowing may not do so because of the high cost ... important that the formal credit is distributed more equally so that the poor can benefit from the cheaper loans.