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Adjustable Rate Mortgages

Question 69

Multiple Choice

Adjustable rate mortgages


A) impose both higher risk and higher initial interest payments on the borrower.
B) impose higher risk on the borrower,but offset the additional risk with lower initial interest payments.
C) offer both lower risk and lower initial interest payments for the borrower.
D) offer lower risk for the borrower,but offset the lower risk with higher interest payments.

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