Which of the following is true of an open-end credit transaction?

Question

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An open-end credit transaction is a type of credit that allows the borrower to borrow money up to a certain credit limit, pay it back, and borrow again. The borrower has the option to pay in installments, making it more flexible than a closed-end transaction (such as a personal loan or a car loan). Option B is incorrect because personal customer loans and student loans typically fall under closed-end credit transactions. Option C is incorrect because an open-end transaction does not have a limited time period, unlike a closed-end transaction, which has a set repayment schedule. Option D is incorrect because an open-end transaction does not necessarily have to be in writing.

Which of the Following Is True of an Open-End Credit