Which model of self help group is also known as the international model?
- A.CDF model
- B.SEWAA model
- C.SAPAP model
- D.DWCRA model
Correct answer
Explanation
The correct answer is C, the SAPAP model. The South Asia Poverty Alleviation Programme model is called the international model of self help group formation because it was taken up with the support of the United Nations Development Programme and followed the same design across South Asian countries, beginning in India in the districts of Andhra Pradesh. It builds a three-tier structure, the group of poor women at the bottom, a village organisation above it and a federation at the mandal level, with savings first and credit afterwards.
Option A, the CDF model, refers to the Cooperative Development Foundation work in Andhra Pradesh, which is a cooperative thrift model. Option B, the SEWA model, grew out of the Self Employed Women's Association of Ahmedabad and its own bank. Option D, DWCRA, the Development of Women and Children in Rural Areas, was a government programme of 1982 and is the domestic, not the international, model.
Read the full article: Loans, Advances and Interest Rates: MCLR to NPA
Practice Questions
View allIn the context of rural credit and micro finance, KCC stands for:
- A.Krishi Credit Card
- B.Kisan Credit Card
- C.Krishi Credit Corporation
- D.Kisan Credit Corporation
Show answer
The Kisan Credit Card scheme was introduced in 1998 on the recommendation of the R V Gupta Committee and is worked by commercial banks, regional rural banks and cooperative banks.
Read the full explanation →From which date did banks in India begin pricing new floating rate loans on the marginal cost of funds based lending rate, MCLR?
- A.1 July 2010
- B.1 April 2016
- C.1 October 2019
- D.1 April 2003
Show answer
The Reserve Bank introduced the MCLR from that date so that the price of a loan would follow the marginal, that is the latest, cost of raising funds rather than the average cost of old deposits.
Read the full explanation →The base rate system introduced by the Reserve Bank of India in July 2010 replaced which of the following?
- A.Marginal cost of funds based lending rate
- B.Benchmark Prime Lending Rate
- C.External benchmark lending rate
- D.Bank rate
Show answer
Under the BPLR system a bank announced a prime rate for its best customers and then lent to many borrowers below it, so the announced rate told a customer very little and the lending book was not transparent.
Read the full explanation →In which of the following charges on movable property does the possession of the goods remain with the borrower?
- A.Pledge
- B.Hypothecation
- C.Lien
- D.Mortgage
Show answer
In hypothecation a charge is created on movable property, such as a financed vehicle or the stock in a trader's shop, while the borrower keeps and uses the goods.
Read the full explanation →Mortgage of immovable property in India is governed by which of the following Acts?
- A.Indian Contract Act, 1872
- B.Transfer of Property Act, 1882
- C.Negotiable Instruments Act, 1881
- D.Banking Regulation Act, 1949
Show answer
Section 58 of that Act defines a mortgage as the transfer of an interest in specific immovable property to secure a loan, and it names six kinds: simple mortgage, mortgage by conditional sale, usufructuary mortgage, English mortgage, mortgage by deposit of title deeds, which is also called an equitable mortgage…
Read the full explanation →