Question

question 1 (1 point) which statement best describes why payday and auto title loans are sometimes referred to as \predatory lending?\ a competition to qualify for these loans is fierce, like a predator b the salespeople who work at these locations are often mean and unfriendly c lenders \prey\ on low - income borrowers who have little to no other options for obtaining a loan d \predatory lending\ is an official category the government uses to describe these particular types of loans, based on their fine print

Explanation:

Predatory lending involves lenders taking advantage of vulnerable borrowers. Payday and auto - title loans are often targeted at low - income individuals with few loan options, which is the essence of predatory behavior.

Answer:

C. Lenders "prey" on low - income borrowers who have little to no other options for obtaining a loan