What are Self-Help Groups? How are they emerging as an important sourc

1.	What are Self-Help Groups? How are they emerging as an important source of credit? Explain.
Answer» Self-Help Groups are a group of 15 to 20 poor villagers, especially women, who regularly pool money at regular intervals. When a member of the group is in need of money, he/she can get the loan from the group at a low rate of interest. Self-Help Groups are emerging as an important source of credit because: They charge less interest on the loans than what the moneylenders charge. All decisions regarding savings and loans are taken by the members of the group. The members can take loans from the groups to meet their daily needs. If the group is regular in its savings, they can also take loan from the bank. Loan is sanctioned in the name of the group. The group is responsible for the repayment of loan. They help borrowers to overcome the problem of collateral. They have freed borrowers from the clutches of the moneylenders.

What are Self-Help Groups? How are they emerging as an important source of credit? Explain.

Answer»

Self-Help Groups are a group of 15 to 20 poor villagers, especially women, who regularly pool money at regular intervals. When a member of the group is in need of money, he/she can get the loan from the group at a low rate of interest.

Self-Help Groups are emerging as an important source of credit because:

They charge less interest on the loans than what the moneylenders charge.
All decisions regarding savings and loans are taken by the members of the group.
The members can take loans from the groups to meet their daily needs.
If the group is regular in its savings, they can also take loan from the bank. Loan is sanctioned in the name of the group. The group is responsible for the repayment of loan.
They help borrowers to overcome the problem of collateral.
They have freed borrowers from the clutches of the moneylenders.

Discussion

No Comment Found

Related InterviewSolutions

What were the two main occupations of the Rig Vedic Aryans?
Name the two political institutions which exercised check on the powers of the King in the Rig Vedic period.
What w’as the position of women in the Rig Vedic age ?
Describe the social life of the Rig Vedic Aryans with reference to the following: (a) The Family Structure (b) Position of Women (c) Varna System
With reference to the following explain the main features of the Rig Vedic Economy: (a) Agriculture (b) Domestication of Animals (c) Trade Transactions, Crafts and Transportation
Mention any two archaeological sources to reconstruct the later Vedic Age.
Mention any two of the Ashrams in the life of a man in Aryan society.
What information do we gather from the later Vedic literature in respect of: (a) Spread of Vedic Civilization to many New Regions. (b) Role of Iron in later Vedic Economy.
Mention briefly the rituals and sacrifices of the later Vedic Aryans?
What is the message of the Bhagavad Gita?

What are Self-Help Groups? How are they emerging as an important source of credit? Explain.

Discussion

No Comment Found

Related InterviewSolutions

Reply to Comment