Co-operation · Class 11 Commerce
Ch 5Credit Co-operative Society — Class 11 Co-operation, concept-first.
Money is the lifeblood of every economic activity — a farmer needs it to buy seed and fertiliser, a small trader to stock goods, a salaried worker to meet a sudden family expense.
Key concepts
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Meaning and Features of a Credit Co-operative Society
A credit co-operative society is a voluntary association of persons of small and moderate means who pool their savings and lend that common fund to one another at a reasonable rate of interest, on the principle of self-h…
Most relevant Q&A
- The guiding principle on which a credit co-operative society works is: (a) Maximum profit for shareholders (b) Self-help through mutual help…Free
- State whether the following statement is TRUE or FALSE, and justify your answer: "A credit co-operative society follows the rule of 'one mem…Free
- Define a credit co-operative society and state any four of its features.Preview
Chapter contents
The NCERT structure, section by section. Open a section to see its questions, then read the concept-first solution.
Meaning and Definition of a Credit Co-operative Society
Money is the lifeblood of every economic activity — a farmer needs it to buy seed and fertiliser, a small trader to stock goods, a salaried worker to meet a sudden family expense.
Features of a Credit Co-operative Society
A credit co-operative society shares the general features of all co-operatives but also has some characteristics of its own that flow from its purpose of dealing in money and credit.
Types of Credit Co-operative Societies
Credit co-operative societies are classified according to where they operate and who their members are.
Functions of a Credit Co-operative Society
A credit co-operative society performs a set of interrelated functions, all built around two activities — accepting savings and granting loans. Its functions may be grouped as follows.
Advantages of a Credit Co-operative Society
Credit co-operative societies have brought real benefits to the small saver and small borrower, to the rural economy, and to society at large. Their chief advantages are:
Limitations of a Credit Co-operative Society
For all their value, credit co-operative societies also suffer from real weaknesses, and an honest study must set these against their advantages. The main limitations are:
Exercises
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- Q1The guiding principle on which a credit co-operative society works is: (a) Maximum profit for shareholders (b) Self-help through mutual help…Free
- Q2An employees' credit co-operative society usually recovers its loan instalments by: (a) Selling the member's property (b) Deducting them dir…Free
- Q3State whether the following statement is TRUE or FALSE, and justify your answer: "A credit co-operative society follows the rule of 'one mem…Free
- Q4Define a credit co-operative society and state any four of its features.Preview
- Q5Explain the four main types of credit co-operative societies.Preview
- Q6Distinguish between an urban credit co-operative society and a rural credit co-operative society.Preview
- Q7State any four functions of a credit co-operative society.Preview
- Q8Give reasons: A credit co-operative society encourages the habit of thrift among its members.Preview
- Q9Explain any four advantages of a credit co-operative society.Preview
- Q10"Credit co-operative societies suffer from certain limitations." Discuss any four such limitations.Preview
- Q11An agricultural credit society gives its farmer-members short-term as well as medium-term loans. Explain the difference between these two ki…Preview
- Q12Fill in the blank and justify: A part of the annual surplus of a credit co-operative society that is set aside to strengthen it and meet fut…Preview