Mortgages for Excel

What is Interest in terms of banking?

• Added money you get from making deposits in a bank.

• Money you owe on unpaid balances on a credit card or mortgage.

• Both A and B

• None of the above.

What is a mortgage?

• It is something you get when you apply for a loan.

• It is the amount due after signing papers to buy a house.

• It is a series of yearly payments when purchasing a house.

• None of the above

What is an amortization schedule of payments?

• It is the amount that you owe.

• It is the principal amount of the mortgage.

• It is the interest side of a mortgage.

• It shows both the interest and the principal and the amount owed.

is the monthly payment on a mortgage the same each month?

• Yes

• No

• Maybe

• It depends

What does the term interest rate mean when getting a mortgage?

• It means nothing.

• It means something.

• It is the amount a bank or financial institution charges you for lending money to purchase a house.

• it is the amount you get for taking out a loan.

What does the word Term mean when purchasing a house?

• It is how long a mortgage runs in terms of years.

• It is how long a mortgage runs in terms of months.

• it is how long a mortgage runs in terms of decades.

• Both A and B

What is a "down payment"

• It is a payment made after the sale of the house.

• It is money that is not used in a financial transaction when buying a house.

• It is the up front money paid in advance in order to reduce the price of the house.

• None of the above.

What is the principal?

• It is Dr. O'Sullivan

• It is the total amount of money owed.

• It is the original amount of money borrowed.

• None of the above

Does the amount of interest go down every time you make a payment against the principal?

• Yes

• No

• Have no idea.

• Maybe

Can you save money if you pay a mortgage off early?

• No

• Maybe

• It depends

• Yes