Social Sciences, asked by tavishi03, 1 year ago

Why are small farmers put to great distress to repay the loan??

Answers

Answered by InfinityMS
3
Small farmers obtain loan from informal sources like village landlord or big farmers dur to easy access to then and absence of collateral but the rate of interest in informal sources are very high therefore at the time of reading loan they have a burden of huge amount and if dur to any reason their crop would fail then they are unable to pay loan and gets captured into debt trap.
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