Question

Microcredit loans typically are used to __________. A. buy a home B. start a small business out of one’s home C. improve infrastructure D. open a store or restaurant

Answer 1

Microcredit loans typically are used to start a small business out of one's home.

Answer 2

The correct answer is (B) start a small business out of one's home

What Exactly Is Microcredit?

Microcredit is a typical type of microfinance that consists of a very modest loan given to an individual to assist them in becoming self-employed or growing a small business. These borrowers are typically low-income persons, primarily from developing countries (LDCs).

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