Use to determine the regular payment amount, rounded to the nearest dollar. In terms of paying less in interest, which is more economical for a $$160,000$ mortgage $30-$year fixed$-$rate at $8\%$ or a $20-$year fixed$-$rate at $7\mathrm{.}5\%?$ How much is saved in interest?

Determine which loan is more economical. Choose the correct answer below.

The $20-$year $7\mathrm{.}5\%$ loan is more economical.

The $30-$year $8\%$ loan is more economical.