Question

Kuria is a longtime customer of Middlebury Bank and has a savings account with the bank. She recently took out a car loan from the same bank. What is MOST LIKELY true?

The interest rate on the car loan over the entire term of the loan is lower than the interest rate on her savings account.

The interest rate on the car loan over the entire term of the loan is higher than the interest rate on her savings account.

The bank raised the interest rate on her car loan because she has a savings account with the bank.

The bank lowered the interest rate on her savings account because she took out a car loan from the bank.

(if there is a better subject to list this Economics question please lmk)

Answer 1

Hi, I believe that:-

The interest rate on the car loan over the entire term of the loan is higher than the interest rate on her savings account.

is the answer .