In Some Cases,lenders Require That Borrowers Obtain Default Insurance

question 29

Multiple Choice

In some cases,lenders require that borrowers obtain default insurance.The purpose of such insurance is to:

• A)Decrease the effective interest rate on the loan
• B)Increase the value of the underlying property
• C)Protect the borrower from defaulting on the loan
• D)Protect the lender from losses associated with borrower default on the loan

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Definitions:

Ex-Slave

A person who was formerly enslaved, especially in the context of American history prior to the abolition of slavery in 1865.

Black Abolitionists

Black Abolitionists were African American leaders and activists who played a significant role in the movement to abolish slavery in the United States.

Social Position

The rank or status of an individual within the hierarchy of society, often determined by factors such as occupation, income, education, and family background.

Slave-Labor System

An economic system that relies on the forced labor of enslaved individuals, historically used in the Americas for agricultural and other labor-intensive activities.