Since microcredit is granted for a short period, it is generally assumed that the interest rate is higher than for a cash lending bank. But this is not always the case in practice.
Some organizations bet high percentages on their offers. But itвЂ™s not all IFIs, and itвЂ™s not all IFIs. Some organizations generally lend to their new customers at 0-0.2%, which is much more profitable than cash lending at the bank.
The main risk of microcredit is precisely high-interest rates. But if you look at the selection of the loan wisely and compare the offers from various microfinance institutions on our site OnCredit, you can avoid overpayment and process the loan not only quickly but profitably.
Microcredit is low-interest loans of 30,000 rupees up to 50,000 rupees, the address of which existing micro-enterprises and the unemployed, who want to realize their business – an idea. They are usually issued by banks without collateral and guarantees are provided by specialized government bodies.