Under a CAP,the bank and the borrower each pay an upfront fee (a portion of the loan amount)into a loan-loss reserve fund at the participating bank,and the state matches this amount.

Question

Quizplus · Accepted Answer

Under a CAP (Capital Access Program), the bank and the borrower each contribute an upfront fee that goes into a reserve fund, and the state matches this amount to create a loan-loss reserve fund.

Under a CAP,the Bank and the Borrower Each Pay an Upfront