Which of the following is a reason to approach smaller banks for a business loan?

Question options:

Their criteria for approving a loan are much less stringent than those for larger banks.

They emphasize personal relationships and may give more weight to personal attributes.

They have lower fees.

They grant larger loans.

Question

Advanced Placement (AP)

Ruth Berg

12 December, 09:24

Which of the following is a reason to approach smaller banks for a business loan?

Question options:

Their criteria for approving a loan are much less stringent than those for larger banks.

They emphasize personal relationships and may give more weight to personal attributes.

They have lower fees.

They grant larger loans.

+1

Answers (2)

Know the Answer?

Francisco Howell · Answer 1

Answer: The Correct Answer is the second one which is: They emphasize personal relationships and may give more weight to personal attributes.

Sabrina Crane · Answer 2

Their criteria for approving a loan are much less stringent than those for larger banks.

Explanation:

Smaller banks are banks that give financial inclusion to some sectors in the economy that are not operated by other banks, such as small company units, small and marginal farmers, micro, sector entities that are not organized and small business.

The principal reason why people approach smaller banks for a loan is that their criteria for approving a loan are much less stringent than those for larger banks.