What Is 'Micro-lending' That Internet Users Talk About?

Micro-lending is the term used for those people who are very poor and can't even afford to have a bank account. It is a "person-to-person" lending of Money. It was first time introduced by Dr. Muhammad Yunus of Bangladesh who has also won a Nobel prize for his services in this regard.

Micro-lending is the extension of very small loans to the unemployed, to poor entrepreneurs and also to others living in poverty who are not considered bankable. These type of individuals lack collateral, steady employment and a verifiable credit history and cannot meet even the most minimal qualifications to gain access to traditional credit.