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Consumer Lending

Horizontales
The interest charged for borrowing that represents the actual yearly cost of the loan
Is open end with an adjustable rate
A comparison of the amount of a loan to the liquidation value of its asset
Is based solely on the credit worthiness of the applicants
Period over which a loan agreement is in force
Verticales
Is closed end with a fixed rate
Is backed by specific asset
Used to measure an individual's ability to manage monthly payments and repay debts