An Essential Characteristic of Credit Unions Is That

question 92

Multiple Choice

An essential characteristic of credit unions is that

• A)they are typically large.
• B)branching across state lines is prohibited.
• C)their lending is primarily for mortgage loans.
• D)they are organized for individuals with a common bond.

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Definitions:

Interest Rate

The cost of borrowing money, often expressed as a percentage of the borrowed amount.

Options

Financial instruments that give the holder the right, but not the obligation, to buy or sell an asset at a predetermined price within a set time period.

Interest

The charge for borrowing money, typically expressed as an annual percentage of the loan amount, or the income earned from lending money.

Account

A record or statement that tracks financial transactions and the financial position of an individual, company, or other entity.