A party who signs an instrument for the purpose of lending his or her name (and credit)to another party to the instrument is the ________ party.
A) collaboration
B) secondary
C) conditional
D) accommodation
E) intermediary

Question

Quizplus · Accepted Answer

The party who signs an instrument for the purpose of lending his or her name (and credit) to another party is known as an accommodation party. This typically occurs when someone agrees to co-sign a loan or lease agreement with another person who may not have strong enough credit on their own.

A Party Who Signs an Instrument for the Purpose of Lending