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On March 1, Paige took advantage of low interest rates and refinanced her $75,000 home mortgage with her original lender. The new home loan is for 15 years. She paid $215 in closing costs and $1,500 in discount points (prepaid interest) to obtain the loan. The house is worth $155,000, and Paige's basis in the house is $90,000. As part of the refinancing arrangement, she also obtained a $10,000 home-equity loan. She used the proceeds from the home-equity loan to reduce the balance due on her credit cards. Paige received several Form 1098 statements from her bank for interest paid by her in 2015. Details appear below. (See also Exhibit A)

Primary home mortgage	$7,100
Home-equity loan	435
Credit cards	498
Car loan	390

This is important tax information and is being furnished to the Internal Revenue Service. 1099-Div Dividends & Distributions Entity Description Amount $300 General Dynamics Gross qualified dividends 1099-Int Interest Entity Description Amount $300 New Jersey Economic Development bonds Gross interest IBM bonds Gross interest 700 700 State of Nebraska bonds Gross interest 1098-Mortgage Interest Statement Entity Description Amount $7100 Sunbelt Credit Union Mortgage interest Northeast Bank Home-equity loan interest 435 Grubstake Mining & Development: preliminary report (preliminary K-1) to Paige for the 2015 tax year $1,000 Distribution to shareholder $2,000 Ordinary income (1% of $200,000)