• Which of the following is not a method of quantitative credit control
Answers
Answered by
0
Explanation:
Margin requirement refers to the difference between the current value of the security offered for loan (called collateral) and the value of loan granted. For example- a person mortgages his house worth one crore rupees with the bank for a loan of 80 lakh rupees . The margin requirement in this case will be 20 lakh rupees. It is a qualitative method of credit control adopted by the central bank in order to stablise the economy from inflation or deflation.
Similar questions