What Is a Bank Loan?

Instructions:

Choose an answer and hit 'next'. You will receive your score and answers at the end.

question 1 of 3

What is an agreement between the borrower and the bank that the loan will be paid back in a specific amount of time at a specific interest rate?

Create Your Account To Take This Quiz

As a member, you'll also get unlimited access to over 79,000 lessons in math, English, science, history, and more. Plus, get practice tests, quizzes, and personalized coaching to help you succeed.

Try it risk-free
Try it risk-free for 30 days. Cancel anytime
Already registered? Log in here for access

1. What is a secured loan?

2. Mary wants to buy a car, but she has nothing to show for assurance. However, she has excellent credit and a steady income, so she applies for an unsecured loan from the bank. Which of the following scenarios is a likely outcome for Mary?

Create your account to access this entire worksheet
A Premium account gives you access to all lesson, practice exams, quizzes & worksheets
Access to all video lessons
Quizzes, practice exams & worksheets
Certificate of Completion
Access to instructors
Create an account to get started Create Account

About This Quiz & Worksheet

This quiz and worksheet will test your knowledge of the characteristics of bank loans. Some of the information you'll be assessed on includes types of bank loans and reasons one may take out a bank loan.

Quiz & Worksheet Goals

Use these assessment tools to test your knowledge of:

  • Types of bank loans
  • Differences between secured and unsecured bank loans
  • Why a person might take out a bank loan

Skills Practiced

  • Making connections - use understanding of the concept of bank loans in different contexts
  • Distinguishing differences - compare and contrast topics from the lesson, such as secured loans and unsecured loans
  • Knowledge application - use your knowledge to answer questions about bank loans

Additional Learning

To learn more about bank loans, review the accompanying lesson called What Is a Bank Loan? The lesson covers the following objectivess:

  • Defining loans and bank loans
  • The importance of paying loans back on time
  • Defining unsecured and secured bank loans
  • Understanding repayment methods
Support