What Type of Loan Requires Both Principal and Interest Payments

question 52

Multiple Choice

What type of loan requires both principal and interest payments as you go by making equal payments each period?

• A)Amortized loan
• B)Interest-only loan
• C)Discount loan
• D)Compound loan

Appreciate the benefits of working effectively in diverse teams.

Implement effective strategies for time management and problem-solving in group settings.

Understand Carl Jung's Typology System and its application in personal development.

Understand the concept and types of legally sufficient consideration in contract law.

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Definitions:

Expedited Credit

A banking service that provides faster funds availability to the depositor.

Substitute Check

A digital reproduction of an original check that has the same legal standing for purposes of clearing.

Consumer

Someone who buys or leases real estate, goods, or services for personal, family, or household purposes.

Good Faith

A principle emphasizing honesty and sincerity in dealings, particularly in legal contracts or negotiations, without any intention to deceive or commit fraud.