Question

Match the terms to their correct meaning

1. APR charge for borrowing money
2. Interest interest rate that does not change
3. Closing costs fees required if loan is paid off before the end of its original term
4. Down payment a loan based on the value of th

Answer 1

Answer: The terms that match with this meanings are:

1. APR charge for borrowing money = FINANCE CHARGE.

2. Interest rate that does not change = FIXED RATE.

3. Closing costs fees required if loan is paid off before the end of its original term = PREPAYMENT PENALTIES.

4. Down payment a loan based on the value of the real estate it is used to purchase = MORTGAGE.