Which of the following is included in the finance charge?
A) Application fees charged to all applicants for credit.
B) Charges for unanticipated late payments, exceeding a credit limit, or delinquency.
C) Charges imposed by a financial institution for paying items that overdraw an account.
D) Fees charged for participation in a credit plan.
E) Fees for appraisals.

Question

Quizplus · Accepted Answer

Included in the finance charge are interest, service charges, loan fees, points, finder's fees, fees for appraisals, credit reports or investigations, and life and health insurance required as a condition of the loan. Among the costs frequently paid by debtors which are not included in the finance charge are recording fees and taxes. Other items of cost not included are title insurance or abstract fees, notary fees, and attorney's fees for preparing deeds.

Which of the Following Is Included in the Finance Charge