Asked by Jimmy Batista on May 28, 2024

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Credit Loan Company extends credit in the ordinary course of its business. Under the Truth-in-Lending Act, Credit Loan must inform potential borrowers of

A) credit terms offered by other lenders.
B) comparative prices for goods to be bought with the borrowed funds.
C) Credit Loan's credit terms.
D) the borrowers' credit scores.

Truth-In-Lending Act

A federal law designed to promote the informed use of consumer credit by requiring disclosures about its terms and cost.

Potential Borrowers

Individuals or entities who may be interested in or eligible for taking out a loan but have not yet entered into a borrowing agreement.

  • Acquire knowledge on the utilization of the Truth-in-Lending Act within various credit transactions.
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Trevor BiermanJun 03, 2024
Final Answer :
C
Explanation :
The Truth-in-Lending Act requires lenders to disclose their own credit terms to potential borrowers to ensure consumers are fully informed about the costs and conditions of borrowing.