Secured Operating Lines of Credit Normally Have Lower Rates of Interest

question 12

True/False

Secured operating lines of credit normally have lower rates of interest than unsecured operating lines of credit.

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Definitions:

ERG Theory

A theory that organizes human needs into the categories of existence, relatedness, and growth.

Existence

The state or fact of living or having objective reality.

Relatedness

The need to feel connected to others, being a fundamental aspect of human motivation.

Lower-order Need

In Maslow's hierarchy of needs, refers to the basic physiological and safety needs that are fundamental for individual survival and security.