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To Purchase a House, Ed Obtains a Mortgage Loan from Farmland

Question 50

Multiple Choice

To purchase a house, Ed obtains a mortgage loan from Farmland Loans Inc. Farmland does not record the mortgage. The most likely consequence is that the lender will


A) not be able to prove its interest in the property.
B) find itself in the position of an unsecured creditor.
C) not have a copy of the loan in a separate location.
D) not obtain reimbursement for any of the loan if the debtor defaults.

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