Problem
i. In what ways may a bank reduce its risk on a loan made through indirect lending?
ii. Why may a loan to purchase a new auto through indirect lending not be the best loan alternative for a consumer?
iii. What are the four different types of open-end credit products? Describe each
iv. What is lending authority and how is it granted?
v. How does the loan policy help lenders judge an applicant's creditworthiness?