Cosumer Fnance

Q:
What is the field of Cosumer finance?

A:
Consumer finance covers a wide range of activities, including loans from banks and indirect finance such as hire-purchase agreements, and loans by specialist retail finance companies.

At the most respectable end of the market, consumer finance is an integral part of retail banking and an important source of unsecured loans

However, in many countries some 'consumer finance' companies are little different from loan sharks, offering considerably higher interest rates than those available on other unsecured loans.

On another view, however, such companies are beneficial because they offer credit to sectors of society which are otherwise excluded from financial markets, and the credit offered is no worse than the alternative credit cards.