The maximum dollar amount of credit the lender has made available to you is called:
A)revolving credit.
B)line of credit.
C)convenience credit.
D)installment cash credit.
E)single lump-sum credit.

Question

Quizplus · Accepted Answer

A line of credit refers to the maximum amount of credit a financial institution extends to a borrower. The borrower can access funds from the line of credit at any time, as long as they do not exceed the maximum amount (or credit limit) set in the agreement and meet any other requirements set by the financial institution (such as making minimum payments on time).

The Maximum Dollar Amount of Credit the Lender Has Made