You've made the decision to purchase an item that is affordable only with a loan. When shopping for a loan, there are many aspects of the loans that you should examine. Which of the following questions should be asked and answered about a specific loan proposal before accepting a lender's offer? Select all that apply. Does the loan have a prepayment penalty? What is the total cost of transaction (cost of item purchased plus cost of loan)? Do the loan's monthly payments fit in my budget? Where is the lending institution located? What is the loan's APR? You're shopping for a big loan, but you have misgivings about John, the loan officer, at an institution you just visited. What are some reasons that may have you uneasy about accepting a loan there? Check all that apply. When you filled out the application, John said if you weren't sure about something on it, you could take the application home and complete it when you had the correct answers. Your parents may be able to help you with the down payment, but John told you to assume they will and to enter a down payment on the application including their contribution. John went over the fine print, such as late payment charges and prepayment provisions. John pointed out that the APR and interest rate were different. John said that his loan was most likely the only one you'd be able to obtain. John gave you a range of terms and said they'll be worked out at closing. When you filled out the loan application, John told you to leave out the smaller amounts you owe to department stores. John said that today is the only day you can secure the loan with favorable terms. What are characteristics of your reasons for feeling uneasy about John the loan officer? Check all that apply. The way the loan officer omitted pertinent information The loan officer's embellishment of the facts Feeling under pressure to make a decision Your friend suggested you look into a variable-rate loan. What questions should you ask? Check all that apply. Can I afford the maximum possible monthly payment? How often is the rate subject to change? Is there a maximum rate? What is the interest rate tied to? Given the long list of relevant loan-related considerations described above, the paradox of choice often arises when attempting to make borrowing decisions. Which of the following phrases addresses the characteristics and recommended solutions for this phenomenon? Check all that apply. Arises when there are too many complicated choices, such you can become overwhelmed and make poor decisions Arises when there are too few alternatives and you wish you had more features or options to select from Prepare a list of possible alternatives and make a random selection Be prepared to ask for assistance