Which of the following is NOT true about Mortgages:
- Mortgages always have a fixed nominal interest rate
- Mortgages are examples of amortized loans
- The principal payment in an amortized loan is the residual balance (meaning the difference between the total payment and the interest due)
- The ending balance in an amortized loan contract will be zero
5 Answers
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Mortgages always have a fixed nominal interest rate-NOT true. ARP (adjustable rate) mortgages are not fixed
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The first statement is not true . Mortgages do not always have a fixed nominal interest rate.
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You should probably do some more studying!
your answer is: Mortgages always have a fixed nominal interest rate
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Not quite sure how to answer this
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that's a good question