Auto loans are an example of open-end credit since you can add to the debt when you purchase another vehicle.

Name: Auto loans are an example of open-end credit since you can add to the debt when you purchase another vehicle.
Brand: Quizplus
Rating: 4.9 (42 reviews)

Question

Quizplus · Accepted Answer

Auto loans are an example of closed-end credit. This means that you receive a fixed amount of money from the lender and repay it over a certain period of time with interest. Once the loan is paid off, the account is closed and you cannot borrow more money on the same loan.

Auto Loans Are an Example of Open-End Credit Since You