A federal funds loan that has no specific maturity date and can be terminated by either borrower or lender without advance notice is known as a:
A) Continuing contract
B) Signature loan
C) Repurchase contract
D) Long-term non secured loan
E) Resale loan agreement
F) None of the above

Question

Quizplus · Accepted Answer

Continuing contracts are loans that do not have a specific maturity date and can be terminated by either party without advance notice.

A Federal Funds Loan That Has No Specific Maturity Date