What is Microcredit?
[[File:Clinton hasina.jpg|thumb|President [[Bill Clinton|Clinton]] and Prime Minister [[Sheikh Hasina]] at a microcredit program with [[Bengali people|Bangladeshi]] villagers at the US Embassy in [[Dhaka]], 2000]] A '''microcredit''' (sometimes called a '''micro-loan''', or '''microloan''') is a special kind of [[loan]] given to poor business people, mostly in [[Developing country|developing countries]]. Microcredits were created to support [[entrepreneurship]], and to lessen [[poverty]]. Very often, people getting a microcredit are [[illiterate]]: they cannot fill out forms to apply for a regular loan. Microcredits also work differently: the interest ot be paid is usually much higher than with a regular loan, often it is over 20%. The interest usually also has to be paid more often. Microcredits have been criticized, because people taking them often end up in a situation where they cannot repay their [[debt]]. Microcredits are given by special [[Bank|banks]] or [[Cooperative|cooperatives]] like [[Oikocredit]], making this investments to help society. {{Stub}} [[Category:Finance]]