Question

Members of financial co-operatives are and hence there is, potential conflict of interest

• A. Depositors
• B. Borrowers
• C. Shareholders and depositors
• D. Depositors and borrowers

Answer 1

Answer:

D. Depositors and borrowers

In financial co-operatives, members often function as both depositors and borrowers. This dual role can create a potential conflict of interest, because the goals of safeguarding deposits and accessing credit may sometimes conflict within the same organization.