Question

expalain probles faced by borrower of loan from in formal sources of credit

Answer 1

1Some persons are not able to

producr certificate of their earning.

2 there are some people who have a history of non repayment of loan .

3 some of them are not able to produce documents of their employment .

4 some persons have nothing to give bank as collateral .

5 there are few others who fails to produce two persons who can stand as security in case he is unable to repay the loan.