Which of the Following Is a Reason for an FI

question 30

Multiple Choice

Which of the following is a reason for an FI to sell a residential real estate loan rather than securitize it through GNMA?

• A)The loan is too large to meet securitization standards.
• B)The loan is not insured by FHA or guaranteed by the VA.
• C)The loan recipient's income cannot be verified.
• D)The loan carries a non-standard adjustable interest rate.
• E)All of the abovE.

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Definitions:

Complex Words

Words that are made up of two or more morphemes, often resulting in a longer and more difficult to understand word.

Clear and Effective

This term implies communication or actions that are understandable and produce the intended results without confusion.

Technical Words

Terminology specific to a particular field or area of expertise, not commonly understood by the general populace.

Annuity

A financial product that pays out a fixed stream of payments to an individual, typically used as an income stream for retirees.