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7 years ago a fixed rate mortgage for $ 100,000 was issued which would fully amortize monthly in 20 years. The contract rate was 8%.

7 years ago a fixed rate mortgage for $ 100,000 was issued which would fully amortize monthly in 20 years. The contract rate was 8%. Refinancing costs $. 3,000. Rates have now fallen to 6%. Suppose refinancing means maximum reduction in the payment, what is the new payment and % reduction?

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