Ursula Wants to Have an Interest Rate That Can Increase

question 61

Multiple Choice

Ursula wants to have an interest rate that can increase or decrease during the life of her loan. She should look for a(n)

• A) ARM.
• B) FHA loan.
• C) Negative amortization.
• D) Second mortgage
• E) VA loan.

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Definitions:

Nova Scotia

A province located on Canada's southeastern coast, known for its high tides, lobster fishing, and historic sites.

Capital Gains

The profit earned from the sale of an asset or investment for more than its purchase price.

Interest Income

The revenue earned from lending funds or through investments in interest-bearing financial instruments.

New Brunswick

A province located on the east coast of Canada, known for its forested terrain and maritime industries.