The financial institution that generally charges the lowest rates on loans is a

Advanced Placement (AP)

1 answer:

Nataly_w [17]3 years ago

6 0

The correct answer is a Credit Union.

Credit Unions are able to charge lower rates than a bank because of their structure. Banks are set up as a for-profit business, so they charge more in order to make themselves more profitable. Credit Unions are set up like cooperatives where the customers own them, or like a non-profit organization. This allows Credit Unions to charge lower rates. Additionally, the Credit Unions normally distributes the profit back to the customer.

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