The Debt Trap

Q. The security that banks take against offering loans to borrowers is called .

1. Collateral
2. Bond
3. Interest
4. Margin

Q.

A 'debt trap' means:

1. inability to repay credit amount

2. none of these

3. ability to pay credit amount

4. overspending till no money is left

Q. The guarantee given to the lender, until the loan is repaid is called _____.

1. Savings
2. Bills of exchange
3. Collateral
4. Deposits

Q. Fill in the blank:
A vicious circle where government takes more loan to repay its previous loans is called _________