Sometimes, as a condition of receiving an installment loan, a borrower is required to buy credit life insurance. From borrower's perspective, credit life insurance not a good deal because:

The correct answer is A. Its very costly B. It does little more than give lenders a lucrative source of income. See the full explanation below for the reasoning.

Fiduciary and Trust Activities

Question

Options

AIts very costly
BIt does little more than give lenders a lucrative source of income
CIt increases market interest charges
DIt increases inflation

How the community answered

(27 responses)

A
74% (20)
C
15% (4)
D
11% (3)

Topics

#credit life insurance#installment loan#consumer protection#lender income

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