If Your Installment Loan Has a Variable Interest Rate

question 132

Multiple Choice

If your installment loan has a variable interest rate,

• A) the rate will remain the same over the life of the loan.
• B) the amount you borrowed will change with interest rates.
• C) you cannot accurately predict the total interest you will pay on the loan.
• D) you can calculate the total interest you will pay on the loan.
• E) your monthly loan payment will change every month.

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