Question 12: Fill in the blanks: Majority of the credit needs of the __________households are met from informal sources. __________costs of borrowing increase the debt-burden. __________issues currency notes on behalf of the Central Government. Banks charge a higher interest rate on loans than what they offer on __________. _________is an asset that the borrower owns and uses as a guarantee until the loan is repaid to the lender.
(i) Majority of the credit needs of the poor households are met from informal sources. (ii) High costs of borrowing increase the debt-burden. (iii) Reserve Bank of India issues currency notes on behalf of the Central Government. (iv) Banks charge a higher interest rate on loans than what they offer on deposits. (v) Collateral is an asset that the borrower owns and uses as a guarantee until the loan is repaid to the lender. Read more on Sarthaks.com - https://www.sarthaks.com/317336/i-majority-of-the-credit-needs-of-the-households-are-met-from-informal-sources
