The outstanding amount of a mortgage is called the mortgage ________.

Question

Quizplus · Accepted Answer

The principal is the initial amount borrowed for a mortgage. It is the amount that is outstanding and needs to be repaid to the lender. The other options - interest, constant, ceiling, and floor - are not used to refer to the outstanding amount of a mortgage. Interest is the additional amount charged by the lender for lending the money, constant refers to a fixed number, and ceiling and floor refer to the upper and lower limits of an adjustable-rate mortgage.

The Outstanding Amount of a Mortgage Is Called the Mortgage