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American_Bankers_Association

CTFA · Question #234

It is the mortgage that starts with unusually low payments that rise over several years to a fixed payment.

The correct answer is D. Graduated-payment mortgage. See the full explanation below for the reasoning.

Investment Management

Question

It is the mortgage that starts with unusually low payments that rise over several years to a fixed payment.

Options

  • AShared appreciation mortgage
  • BBalloon payment mortgage
  • CInterest-only mortgage
  • DGraduated-payment mortgage

How the community answered

(43 responses)
  • A
    5% (2)
  • B
    12% (5)
  • C
    2% (1)
  • D
    81% (35)

Topics

#graduated-payment mortgage#mortgage types#rising payments

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