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Discuss how lenders can share various degrees of interest rate risk with borrowers and how these techiques affect default risk. Describe at least three examples

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Discuss how lenders can share various degrees of interest rate risk with borrowers and how these techiques affect default risk. Describe at least three examples of various degrees are risk sharing with adjustable rate mortgages. These examples can be invented mortgage products which you describe. Be sure to include in your discussion how the various intial rates would relate between the mortgages you discussion

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