The process of ________ occurs when many mortgages are bundled together and sold as bonds to institutions,such as pension funds.

Question

Quizplus · Accepted Answer

The process described involves bundling of mortgages and selling them as bonds, which is known as securitization. Choice A (perfection) refers to the process of filing and completing all necessary legal documents to establish a valid and enforceable security interest in collateral. Choice B (foreclosure) refers to the legal process by which a lender takes possession of a property due to the borrower's failure to repay the loan. Choice C (acceleration) refers to the act of demanding the immediate repayment of a loan, typically due to a default by the borrower.

The Process of ________ Occurs When Many Mortgages Are Bundled