Compared to other lending financial institutions, finance companies have a ____ loan delinquency rate, and the average rate charged on loans is ____ on average.

Question

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Finance companies typically have higher loan delinquency rates and higher interest rates compared to other lending financial institutions. This may be due to the fact that finance companies cater to higher-risk borrowers who may not qualify for loans from traditional banks and institutions. As a result, finance companies charge higher interest rates to offset the higher risks associated with their customer base.

Compared to Other Lending Financial Institutions, Finance Companies Have a ____