What is the difference between a service charge and a finance charge?
a.
A service charge is a fee which must be paid every month, while a finance charge is a one-time fee assessed at the beginning or end of a loan period.
b.
A service charge is a flat fee charged to a borrower, while a finance charge is a fee charged to a borrower based on the amount borrowed.
c.
A service charge is a fee assessed by a lender, while a finance charge is a fee charged by a financial institution, such as a bank.
d.
A service charge is a fee assessed by a lender other than interest, and a finance charge is the total of the interest paid on a loan and the service charge.
((I have the answer but I want to make sure it is completely accurate))



Answer :

W0lf93
b. A service charge is a flat fee charged to a borrower, while finance charge is a fee charged based on the amount borrowed.
Service charges are standard charges assessed to pay for business costs; finance charges vary depending on the amount borrowed.

the correct answer is d....

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