(i) Credit refers to an agreement in which lender supplies the borrowers with money, goods and services in return for the promise of future payments.
(ii) Whether credit will be useful or not, depends upon the risks in the situation and on whether there is some support in case of loss.
(iii) When a borrower takes a loan from the bank for increasing the production of goods and he/she is able to increase it and pay the loan back to the bank within the given time limit, then credit has played a positive role in making him/her wealthy.
