Question

Tom has just signed for a loan that contains an acceleration clause. How does this clause affect the terms of the loan?

Answer 1

Answer:

C.If Tom cannot pay the loan, the bank can demand that he pay the remaining balance of the loan in full.

Step-by-step explanation:

An acceleration clause is a contract provision that allows a lender to require a borrower to repay all of an outstanding loan if certain requirements are not met.