Read each customer scenario and identify a loan product or products to meet the customer's financial needs, and briefly explain your reasoning. Submit your answers via "Assignments" by the due date.
Situation 1
Patrick has just graduated from college and would like to establish credit. He has no immediate financing needs, but he may be purchasing a computer in the next few months.Suggested loan product, and why:
Situation 2
Elaine owns a small retail business. She has an opportunity to purchase inventory at a substantial discount but does not have enough cash on hand. She feels certain that if she buys the inventory, she can sell it within four to six months at a profit.
Suggested loan product, and why:
Situation 3
Mike and Betty are planning a two-week cruise for their 15th wedding anniversary. They also are thinking about putting in a swimming pool and making other home improvements. All their current savings are tied up in retirement accounts, and they will need financing for the cruise, the swimming pool, and miscellaneous expenses.
Suggested loan product, and why: