Question

Maura had to get $350 emergency loan at a very high interest rate to pay for dental work. The the lender did not need her credit history. If she does not pay back the loan within 3 weeks , she will have to pay an extra 50. Raina says the loan is an example of easy access credit hold Maura says it is an example of open end credit . Which statement about the loan is correct

A: Raina is correct because the loan is a line of credit
B: Maura is correct because the loan has an interest rate
C: Raina is correct because the loan has a large fee if it is not repaid on time
D: Maura is correct because the loan does not have an annual fee

Answer 1

C. Raina is correct because the loan has a large fee if it is not repaid on time.

Explanation:

Edge 2021

Answer 2

I'd say Raina is correct, because loans are indeed easy acess, but you'll have to pay it back in certain period of time, otherwise fees can increase a lot.

Answer:

`\boxed{\bf~C.~is~correct.}`

Hope it helped,

Happy homework/ study/ exam!