18
QuizMultiple Choice

Financial Literacy — Test

Question 18 • Economics

What is a benefit of obtaining a personal loan?

Answer
A
getting large amounts of money to use immediately
B
getting money with favorable interest rates
C
getting money with special repayment terms
D
getting small amounts of money to use immediately

Explanation

A personal loan can provide a borrower with a sizable amount of money upfront, which can be used immediately for expenses such as a major purchase or debt consolidation. That makes “getting large amounts of money to use immediately” the best answer. Interest rates and repayment terms vary, so they are not guaranteed benefits.

AI-written and checked against the verified answer.

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