Question
With respect to a personal loan, the finance charge a borrower pays is _____.
a.
an income tax on the loan
b.
the extra money he or she pays in interest
c.
usually a one time $20 application processing fee
d.
something the borrower can opt out of with good credit
a.
an income tax on the loan
b.
the extra money he or she pays in interest
c.
usually a one time $20 application processing fee
d.
something the borrower can opt out of with good credit
Answers
GPT-4o mini
The correct answer is: **b. the extra money he or she pays in interest**.
The finance charge on a personal loan typically refers to the total cost of borrowing, which includes interest and any additional fees associated with the loan.
The finance charge on a personal loan typically refers to the total cost of borrowing, which includes interest and any additional fees associated with the loan.