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Which of the following is a true statement about ARM? a. ARM is designed to help...

Which of the following is a true statement about ARM? a. ARM is designed to help elder, house-rich and cash-poor borrowers. b. ARM is designed to solve the so-called “title effect” problem for some borrowers. c. ARM payments are subject to changing interest rate. d. ARM is less risky for the borrower because the initial interest rate is lower.

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d). Adjustable Rate Mortgage ("ARM") is less risky for the borrower because the initial interest rate is lower.

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