Candy bought a sofa from Max on credit. She is to make 5 monthly payments of $200 each. After one month Candy stops making payments. Max is a secured creditor; he may:

Question

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As a secured creditor, Max has the right to repossess the sofa if Candy stops making payments. However, he cannot enter Candy's home without her permission or a court order, and he cannot force her to perform manual labor or turn over other property. Option A and D are incorrect as they go beyond the rights of a secured creditor. Option E is also incorrect as it states that Max cannot take any action, which is not true.

Candy Bought a Sofa from Max on Credit