Multiple choice

As per the reports published in various journals and newspapers the 'small borrowers' in rural areas still prefer to take informal route for their credit needs. Which of the following is the 'informal route' of credit in financial sector ?

  1. Credit cards

  2. Loan against gold from financial institute

  3. Debit cards

  4. Money lender
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Informal credit refers to lending outside the formal banking system, such as money lenders, friends, or relatives, which often lack regulation.

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