Because of the differences in the makeup of their major loan types,finance companies typically have shorter-term loans than banks.

Name: Because of the differences in the makeup of their major loan types,finance companies typically have shorter-term loans than banks.
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Finance companies usually offer shorter-term loans, such as personal and consumer loans, while banks offer a wider range of loans, including longer-term loans such as mortgages and business loans.

Because of the Differences in the Makeup of Their Major