Question

what is a dept trap? class 10 ncert​

Answer 1

Answer:

situation in which a borrower is led into a cycle of re-borrowing, or rolling over, their loan payments because they are unable to afford the scheduled payments on the principal of a loan. These traps are usually caused by high-interest rates and short terms.

Answer 2

Answer:

Explanation:

dept trap is a situation in which a debt is difficult or impossible to repay, typically because high interest payments prevent repayment of the principal.