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How Did The 1920's Qualifications To Take A Loan In The 1920s

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There was not as many qualifications in the 1920’s to take a loan from the bank as there is now. Back in the 1920s, basically anyone can take a loan from any bank without as many qualifications it takes to have now to take a loan out resulting to people constantly taking loans out without any regard to putting the money back. Many people who took out loans were not able to pay the bank back or did not have the jobs or working experience to work for the money and return it to the bank. The banks slowly lost money and stopped giving loans. Qualifications started to be a requirement to take loans, otherwise the banks would go broke and the federal government would have a big problem. This eventually added to the causes of the Great Depression.

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