Scenario: John Is Looking to Buy a House in Bozeman

Scenario: John is looking to buy a house in Bozeman. He has about $120,000 in savings, and the house he is interested in costs $300,000. When he approaches Boze Bank, the same bank at which all of his five brothers have accounts, he learns that he can borrow at a nominal interest rate of 5 percent. Inflation is 2 percent for 2 years after he buys the house and then increases to 3 percent. Assume that Boze Bank is the only bank in Bozeman and John's five brothers contribute a significant amount to the bank's total savings.
-Refer to the scenario above.Which of the following statements is correct?

A) The $120,000 that John has already can be referred to as credit.
B) John could be a debtor or a lender.
C) The bank is considered the lender.
D) John's brothers are considered private debtors.