Question

Hillary wants to purchase a refrigerator on credit. if she uses an installment plan, what is most likely to occur? a discounted price on her purchase will not be offered. taxes will not be charged. a down payment will be required. by law, finance charges on her account cannot exceed 20 percent of the purchase price.

Answer 1

Hillary wants to purchase a refrigerator on credit. If she uses an installment plan, what is most likely to occur? A downpayment will be required. Typically when you finance something through an installment plan, the plan requires a downpayment to be made. Creditors will use the downpayment as the first months payment and helps hold the buyer accountable for paying their purchase. A downpayment amount can vary based on what the requirements are for that specific store.