Which person is likely to pay the highest interest rate on a loan?

Question

Which person is likely to pay the highest interest rate on a loan?

A.
A person who makes the minimum payment on time each month.
B.
A person who pays all their bills online.
C.
A person who is often late on paying their bill each month.
D.
A person who pays off their entire balance each month

Answer 1

C. A person who is often late on paying their bill each month is likely to pay the highest interest rate on a loan because they may have a lower credit score and be considered a higher risk borrower.