Question

Which type of credit requires that the borrower pay a specific amount in a set number of payments of equal amounts?
A.
Revolving credit
B.
Installment credit
C.
Noninstallment credit
D.
Line of credit


Please select the best answer from the choices provided

A
B
C
D

Answer 1

B

Installment credit requires the borrower to repay a specific loan amount in a set number of equal payments (e.g., car loans, some personal loans).