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Which of the following is FALSE about prepayment? Conventional conforming loans are not subject to prepayment penalties A borrower has strong incentive to prepay a

Which of the following is FALSE about prepayment?

Conventional conforming loans are not subject to prepayment penalties

A borrower has strong incentive to prepay a mortgage when the market interest rate is increasing

Prepayment penalties are common in the commercial real estate loans

Prepayment leads to the reinvestment risk of lenders

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