Social Science

Why Is It Necessary for the Banks and the Cooperative Societies to Increase Their Lending Facilities in the Rural Areas? Explain.

Due to the following reasons it is necessary for the banks and the cooperative societies to increase their lending facilities in the rural areas: There is limited availability of the formal sector credit sources in the rural areas. The poor borrowers are bound to take loan from the moneylenders at high rate of interest. Due …

Why Is It Necessary for the Banks and the Cooperative Societies to Increase Their Lending Facilities in the Rural Areas? Explain. Read More »

Why Is Modern Currency Accepted as a Medium of Exchange Without Any Use of Its Own? Find Out the Reason.

Modern currency accepted as a medium of exchange without any use of its own due to the following reasons: In the modern times, currency notes and coins are used as a medium of exchange. These are not made of any precious metals even though used as a medium of exchange because the government of the …

Why Is Modern Currency Accepted as a Medium of Exchange Without Any Use of Its Own? Find Out the Reason. Read More »

Cheap and Affordable Credit Is Essential for Poor Household Both in Rural and Urban Areas. In the Light of the Above Statement, Explain the Social an Economic Values Attached to It.

Due to the following three reasons cheap and affordable credit is important for the country’s development: It will help people to take credit for variety of reasons. It will help poor people to get rid of the problem of moneylenders and their high rate of interest. It will be easy for the people to repay …

Cheap and Affordable Credit Is Essential for Poor Household Both in Rural and Urban Areas. In the Light of the Above Statement, Explain the Social an Economic Values Attached to It. Read More »

Explain Any Four Terms of Credit With Examples.

Terms of credit includes interest rate, collateral, documents, mode of repayment etc. Suppose a person taking a loan of 5 lakhs at 5% rate of interest from the bank. He has kept his house with the bank as a guarantee of repayment. He agreed to pay the monthly instalment.