Finance
An FHA loan is insured by:
AThe Federal Reserve
BThe U.S. Department of Housing and Urban Development (HUD) through the Federal Housing Administration✓ Correct
CThe Veterans Administration
DFannie Mae
Explanation
FHA loans are insured by the Federal Housing Administration (FHA), which operates under HUD. This insurance protects lenders against default losses and allows borrowers to qualify with lower down payments and credit scores.
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