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CHAPTER XIII
After the ink dries . . .
  1. Which of the following best describes the role of the mortgage servicer?

    a) Purchases mortgages for income or capital appreciation.
    b) Collects monthly principal and interest payments from borrowers and manages escrow accounts for paying taxes and insurance premiums.
    c) Makes a loan for a specific amount of money to the borrower.
  2. Joe plans on making additional payments on his fixed-rate mortgage. What benefits will he realize by prepaying his mortgage?

    a) Reduces his balance, loan term and overall interest bill, but not his monthly payments.
    b) Reduces his balance, loan term, overall interest bill and monthly payments.
    c) Reduces his balance, loan term, monthly payments and private mortgage insurance.
  3. Which of the following best describes the advantage of an informal biweekly prepayment schedule set up by the borrower over a formal biweekly prepayment plan managed by a lender?

    a) You pay down the loan quicker with an informal plan.
    b) The formal plan is more structured so that if an unforeseen financial problem arises, you are still responsible for the biweekly payment, whereas with an unstructured plan, you have more flexibility.
  4. True or false: Prepaying your mortgage could adversely affect your tax advantage.

    a) True
    b) False

TABLE OF CONTENTS

CHAPTER I
  Lesson 1
  Quiz

CHAPTER II
  Lesson 2
  Quiz

CHAPTER III
  Lesson 3
  Lesson 4
  Lesson 5
  Quiz

CHAPTER IV
  Lesson 6
  Lesson 7
  Quiz

CHAPTER V
  Lesson 8
  Lesson 9
  Quiz

CHAPTER VI
  Lesson 10
  Lesson 11
  Quiz

CHAPTER VII
  Lesson 12
  Lesson 13
  Lesson 14
  Quiz

CHAPTER VIII
  Lesson 15
  Lesson 16
  Lesson 17
  Lesson 18
  Quiz

CHAPTER IX
  Lesson 19
  Quiz

CHAPTER X
  Lesson 20
  Quiz

CHAPTER XI
  Lesson 21
  Quiz

CHAPTER XII
  Lesson 22
  Lesson 23
  Lesson 24
  Quiz

CHAPTER XIII
  Lesson 25
  Lesson 26
  Lesson 27
  Quiz

CHAPTER XIV
  Lesson 28
  Lesson 29
  Lesson 30
  Quiz

Definitions

 
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