Question 9 10 pts Customer loans are classified on a Dl's balance sheet as liabilities, because the Dl must transfer funds to the borrower at the initiation of the loan. liabilities, because the customer may default on the loan. O assets, because Dls originate and monitor loan portfolios. Question 10 10 pts Compared to banks and savings institutions, credit unions are able to pay a higher rate on the deposits of members because they intend to attract new members. Regulation Q still applies to the industry. of their tax-exempt status