Ricky has a conventional mortgage.He can monitor his interest and principal payments using _____ information.

Question

Quizplus · Accepted Answer

Amortization is the process of paying off a loan over time through regular payments. It includes a breakdown of how much of each payment goes towards principal and interest, which allows borrowers like Ricky to monitor how much progress they're making on paying off their mortgage. Escrow refers to a separate account where funds are held to pay for property taxes and insurance, and is not directly related to monitoring interest and principal payments. Lock refers to a rate-lock agreement with a lender, PMI refers to private mortgage insurance, and points are fees paid upfront to reduce the interest rate on a loan.

Ricky Has a Conventional Mortgage