Distinguished between quantitative and qualitative methods of credit control - Economics - Money and Banking

Question

Distinguished between quantitative and qualitative methods of
credit control?

Ishi · Accepted Answer

Solution:

Quantitative Methods
Qualitative Methods

1
It affects overall supply of money/ credit in the economy
It affects the flow of credit in particular sector in positive
or negative manner

2
It affect lenders
It affects both lenders and borrowers

3
Example - Bank rate, Cash reserve ratio etc
Example - Margin requirement, Rationing of credits etc

	Quantitative Methods	Qualitative Methods
1.	It affects overall supply of money/ credit in the economy	It affects the flow of credit in particular sector in positive or negative manner
2.	It affect lenders	It affects both lenders and borrowers
3.	Example - Bank rate, Cash reserve ratio etc.	Example - Margin requirement, Rationing of credits etc.

Distinguished between quantitative and qualitative methods of credit control?