Freddie Mac and Fannie Mae

question 4

Multiple Choice

Freddie Mac and Fannie Mae:

• A)Were created to support the U.S.housing market.
• B)Stimulated the U.S.Housing Bubble.
• C)Provided bailout funds to the U.S.Government
• D)Acted in the best interest of consumers
• E)Acted in the best interest of lenders

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Definitions:

Involuntary Bankruptcy

A legal proceeding initiated by creditors against a debtor who fails to pay owed amounts, forcing the debtor into bankruptcy to satisfy debts.

Creditors

Individuals or organizations to whom money is owed by debtors.

Petition

A formally drafted plea, often endorsed by numerous individuals, urging those in power to consider a specific issue.

Bankrupt Estate

The total assets of a person or entity that are available for distribution among creditors after declaring bankruptcy.