The Truth-in-Lending Act does NOT apply to which of the following:
A) a $5,000 loan to a friend
B) a $25,000 loan to a friend
C) a transaction with no finance charge and fewer than 4 installment payments
D) a consumer credit transaction of $30,000 that does not involve real estate
E) all of the other choices are correct

Question

Quizplus · Accepted Answer

The Truth-in-Lending Act primarily applies to lenders and businesses that offer credit to consumers in a professional capacity. It does not typically apply to personal loans between friends (choices A and B) or to transactions that do not involve finance charges and have fewer than four installment payments (choice C). The Act does cover consumer credit transactions, but the exclusions listed in choices A, B, and C are not covered by the Act, making choice E correct.

The Truth-In-Lending Act Does NOT Apply to Which of the Following