Subprime mortgages are ________.
A) mortgages that charge the borrower an interest rate that is less than the prime rate of interest
B) mortgages on pieces of real estate located in less than prime neighborhoods
C) loans to borrowers with lower incomes and/or poorer credit histories compared to prime borrowers
D) mortgages on which the borrower has already fallen behind on payments or defaulted
Correct Answer:
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