The use of off-market rates is discouraged and should be permitted only:
A) When the bank's income is secured on the trade.
B) If the unsecured credit is taken into account.
C) If the bank knows the customer very well.
D) When there are written procedures and policies for

Question

Quizplus · Accepted Answer

Off-market rates should only be used when there are written procedures and policies in place to ensure transparency and consistency. This helps to mitigate the risk of creating unfair advantages for certain customers and ensures that the bank's lending practices are consistent with regulations and industry norms. Choices A, B, and C do not provide sufficient justification for using off-market rates.

The Use of Off-Market Rates Is Discouraged and Should Be