One of the Drawbacks of Borrowing from Parents or Family

question 16

Multiple Choice

One of the drawbacks of borrowing from parents or family members is that such loans:

• A) tend to be more expensive than other types of loans.
• B) must be interest-free.
• C) may create tension within the family.
• D) are limited to oral agreements.
• E) are legally prohibited from establishing repayment dates and terms.

---

Definitions:

Communes

Groups of people living together and sharing possessions and responsibilities.

Autonomy

The right or condition of self-government; in personal context, the capacity of an individual to make an informed, uncoerced decision.

Cohabitants

Individuals living together in a domestic partnership without being legally married.

Financial Matters

Issues or situations concerning the management, investment, and expenditure of money and financial resources.