All of the following are unique characteristics of microfinance loans except
A) No collateral is needed
B) Loans are usually repaid between 6 months and a year
C) Only a maximum of 10% ownership equity is required in exchange for the loan
D) When the loan has been repaid, the money is then "recycled" as loans to other entrepreneurs in the village

Question

Quizplus · Accepted Answer

While A, B, and D are all unique characteristics of microfinance loans, the requirement for only a maximum of 10% ownership equity is not necessarily a universal feature of microfinance. Some microfinance lenders may require more or less equity, or may not require any equity at all.

All of the Following Are Unique Characteristics of Microfinance Loans