A Good Example of Open-End Credit Is

question 60

Multiple Choice

A good example of open-end credit is:

• A) the use of a bank credit card to make a purchase.
• B) a mortgage loan from a savings and loan institution.
• C) an automobile loan from a credit union.
• D) an installment loan from a furniture store.
• E) an installment loan for purchasing a major appliance.

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Definitions:

Registration Document

An official document filed with a regulatory body to declare the particulars of a new issue of securities, a new company, or a vehicle.

Private Placement Exemption

Private Placement Exemption refers to a securities offering exempt from registration with regulatory bodies, allowing companies to sell shares directly to qualified investors without a public offering.

SEC

The Securities and Exchange Commission, a federal agency responsible for regulating the securities industry, enforcing federal securities laws, and ensuring securities market integrity.

Unlimited Number Of Securities

Pertains to a situation where a company is authorized to issue as many shares of stock as it desires, with no set maximum limit defined in its charter.