Finance
A Connecticut borrower refinances a $300,000 mortgage at a lower rate. The main benefit is:
AIncreased principal balance
BLower monthly payments and/or interest savings over the life of the new loan✓ Correct
CAutomatic removal of PMI
DElimination of property taxes
Explanation
Refinancing at a lower interest rate reduces monthly P&I payments and total interest paid over the loan's life—the primary financial benefit for most borrowers.
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