The poor households are still dependent on informal sources of credit. Why is it so?

A
Lack of banks
B
Lack of collaterals
C
Lack of funds
D
Lack of stable income.

Solution:

Ans: B

Explanation:

As we know, bank loans require proper documents and collateral. Absence of collateral is one of the major reasons which prevents the poor from getting bank loans.

Solution:

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