Which one of the following would not typically be closed-end credit?
A)home mortgage
B)installment loan to purchase new furniture
C)line of credit from your bank
D)automobile loan
E)single lump-sum credit loan due in 90 days

Question

Quizplus · Accepted Answer

A line of credit is typically open-end credit, which means that the credit can be accessed repeatedly as long as the borrower remains within the credit limit. The other options (A, B, D, E) are typically closed-end credit, which means that the credit is issued in a one-time lump sum and paid back over a fixed term with predetermined payments.

Which One of the Following Would Not Typically Be Closed-End