New Delhi, Sept. 24 -- Rural India has a huge potential for growth in financial services. Millions of small farmers, traders, and self-employed individuals rely on borrowing to fund their seasonal needs, purchase agricultural inputs, or invest in small ventures. For decades, credit has been a vital lifeline for rural households. Traditionally, this borrowing was sourced from friends, family, or moneylenders. While convenient, such arrangements often came with high interest rates or personal obligations.

Today, the landscape is changing. Banks, NBFCs, MFIs, and cooperative institutions are offering formal loans with competitive interest rates, transparent repayment terms, and professional handling. Yet despite easier access to credit, a c...