WorksheetsPF 7.3 Auto Loans & Mortgages
Total questions: 11
Worksheet time: 10mins
The larger your down payment amount, the __________ your monthly payments.
(a)The higher your credit score is, the (a) your APR.
If you buy a $180,000 house and you take out a $150,000 mortgage, how much was your down payment?
(a)
A(n) (a) requires a more extensive look at your credit history, usually from all three credit bureaus while a(n) (b) will typically only look at one.
A(n) (a) has a shorter term, usually 3, 5, or 7 years while a(n) (b) has longer terms, usually 15 or 30 years.
While lenders will usually reject a(n) (a) application if it includes a poor credit history, they are more likely to approve a(n) (b) to help increase sales.
How do lenders alter the loan terms of a loan for those with poor credit to make up for the added risk?
What are the first steps that you should take when struggling to pay secured debt?
What are the potential consequences of not paying your loan?
Repossession of collateral
Legal action
Damage to credit score
Increased interest rates
Nothing, just get another loan
If the total cost of a home is $300,000 and the buyer is required to make a 20% down payment, how much is the down payment?
$50,000
$60,000
$70,000
$80,000
A buyer wants to purchase a home that costs $250,000. They can afford to make a 10% down payment. How much more would their down payment need to be to reach a 20% down payment?
$25,000
$50,000
$75,000
The down payment would not need to increase.
