14
QuizMultiple Choice

Credit, Interest, and Debt

Question 14 • Fall 24 GSE Physical Science B IC

Which event contributed to the growth of predatory lending in the US?

Answer
A
an increase in banking laws
B
the growth of community banking
C
the closing of payday loan companies
D
a decrease in banking laws

Explanation

A decrease in banking laws can weaken limits on lending practices and reduce oversight, creating more opportunities for predatory lenders. Therefore, the event that contributed to the growth of predatory lending was a decrease in banking laws.

AI-written and checked against the verified answer.

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