Answer: Open-end credit refers to a preapproved loan that enables borrowers to purchase repeatedly with an open end credit line.
Explanation:
Open-end credit allows or enables borrowers to purchase repeatedly with an open end credit line. It is a pre-approved loan from a financial institution which controls the amount a borrower can borrow. It helps borrowers to have control over when and how much they borrow. An example of open-end credit is credit card which is very common because it gives easy access to funds.
