1) Advantages of a 15-year mortgage over a 30-year mortgage include: (select all that apply)

	a) higher loan maximum.
	b) saves interest over the life of the mortgage.
	c) equity is built up at a faster pace.
	d) lower monthly payment.

2) A home equity loan, which is also called a second mortgage, allows a homeowner to borrow against the equity value of their home.

True/ False

3) Interest rates charged by pawnshops, title loan companies, and payday loan companies often far exceed the cost of borrowing on a credit card.

True/False

4) You can improve your credit score by: (select all that apply)

	a) fixing errors on your credit report.
	b) paying your bills on time.
	c) carrying credit balances equal to your credit limit.
	d) frequently obtaining new credit accounts.