Question

On a loan with a variable interest rate, the rate is usually tied to `____`.

Accepted Answer

a benchmark rate, such as LIBOR or the interest rate that a Treasury bond pays

Answer

the relative returns of the S&P 500

Answer

the weather patterns that influence lender liquidity

Answer

the debtor’s ability to make loan payments on time

Question 24 - Practice and Disclosures Practice Test for the Real Estate License Exam