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How is the maturity date of a loan determined?
When it's given in moths, it's the date of the same day of the different month. When it's given in days, it's the number of days since the loan was made.
4. What is the difference between a decreasing payment and a level payment installment loan?
A level payment installment loan makes you pay an equal amount each moth, while a decreasing payment is when you paid an amount per month, plus a certain interest on the remaining balance.
5. What are some costs that can be included in a finance charge?
Interest, service fees, etc.
6. By law, what information must be disclosed by creditors to make it easier for a consumer to compare finance charges?
ARP (Annual Percentage Rate)
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