Before signing the loan to purchase her new car, veronica read over the terms of her loan. she wanted to learn about the annual percentage rate and the total cost to her, the borrower.
this is an example of which federal reserve service in action?

a.
member bank merger act
b.
federal advisory committee
c.
truth in lending act
d.
federal open market clause

The correct answer is C. The given situation is an example of the Truth in Lending Act in action.

Explanation:

The Truth in Lending Act is a federal law that states that banks, credit societies, and all those entities that offer individuals different credit options, must clearly and accurately inform the terms of the contracts they sign. Therefore, it makes available to credit consumers all the necessary information on credit agreements, so that they can decide on the different costs, interests and calculation methods, in order to decide which is their best option for them.

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