Question

Banks are present everywhere, but it is very difficult for poor households to get loan from the bank than taking a loan from informal source? Why is it so?​

Answer 1

Banks are not present everywhere in rural India, where as the informal sources are easily available in all the villages. ... Getting a loan from the bank is much more difficult than taking a loan from the informal resources because bank loans require proper documents and collateral.

Hope it helps you dear

Answer 2

Step-by-step explanation:

Banks are not present everywhere in rural India, where as the informal sources are easily available in all the villages. Getting a loan from the bank is much more difficult than taking a loan from the informal resources because bank loans require proper documents and collateral.