Question

Distinguish between: 

Call loans and long term loans

Answer 1

Basis	Call loans	Long term loans
Time-	They are provided for a period	They are provided for a period
period	of 7-15 days	of more than 5 years.
Interest rate charged	They charge lowest interest rates.	They charge highest interest rates.
Users	They are mostly availed to by bill-brokers and stock brokers.	They are mostly availed by big private companies and PSU companies.
Recall of loan	These loans can be recalled by the banks at any time from the borrower.	These loans can be recalled only after giving a prior notice to the borrower.