On what terms did Savita get a loan from Tejpal Singh? Would Savita's condition be different if she could get a loan from the bank at a low rate of interest?

On what terms did Savita get a loan from Tejpal Singh? Would Savita's

1.	On what terms did Savita get a loan from Tejpal Singh? Would Savita's condition be different if she could get a loan from the bank at a low rate of interest?
Answer» Solution :Savita was a SMALL farmer. She PLANNED to cultivate wheat on her 1 hectare. Besides seeds, fertilizers and pesticides, she needed cash to buy WATER and repair her farm instruments. She didn.t have the money and decided to borrow it from a large farmer, Tejpal Singh Savita got a loan at a high rate of INTEREST of 24% for four months. Savita also had to promise to work on Tejpal.s field as a farm labourer during the harvest season at 35 per day. It was quite a low wage. Savita.s situation would have been different had she taken the loan from a bank since the interest have worked on her own farm also, carrying her household responsibilities comfortably. If required, she COULD have worked as a labour, like other farmers and received minimum wages.