Question

What is collateral? and Self Help groups

Answer 1

colatteral is an asset that a borrower owns and uses it as guarantee to a lender till the loan is repaid.

shgs are groups formed by poor women who take loans from banks.

hope it helps u............

Answer 2

Collateral is an asset or document that a borrower owns and is used for guaranteed repayment of credit/loans. SHG’s (Self Help Groups) are small groups of people in villages that pool their savings together (Rs 25-100) and people can take small loans from that at an interest rate lower from that of which a moneylender keeps.