Question

Your credit score in this example means most companies will loan you money at ten percent interest. Based upon the ten percent interest rate, which answer would be an example of "predatory lending"? A. A company agrees to loan you money at ten percent interest. B. A company agrees to loan you money at twenty percent interest. C. A company agrees to loan you money at five percent interest. D. A company agrees to give you six months of interest-free money then charges you ten percent interest.

Answer 1

The correct answer among all the other choices is B. A company agrees to loan you money at twenty percent interest. This answer would be an example of "predatory lending." Thank you for posting your question. I hope this answer helped you. Let me know if you need more help.