In the year 2002, Timothy wanted to purchase a house. As he did not have sufficient funds, he decided to take a loan. Given his low credit score, it was highly unlikely that he would be able to repay the borrowed money. However, he was able to secure a loan despite his reduced ability to repay the loan. Timothy most likely applied for a _____.
A) subsidized loan
B) subprime mortgage loan
C) endowment mortgage loan
D) concessional loan

Question

Quizplus · Accepted Answer

In 2002, individuals with low credit scores often secured loans through subprime mortgage loans, which were designed for borrowers with poor credit histories and a higher risk of default.

In the Year 2002, Timothy Wanted to Purchase a House