Finance
A Florida borrower's credit score falls into the 'subprime' category. This typically means the borrower will receive:
ALower interest rates than conventional borrowers
BHigher interest rates and potentially stricter loan terms to compensate for higher perceived risk✓ Correct
CFHA-guaranteed loan terms
DThe same rate regardless of credit score
Explanation
Subprime borrowers (with lower credit scores, typically below 620-640) are considered higher risk and typically receive higher interest rates and may face stricter terms (higher down payment, lower LTV limits) to compensate lenders for the increased default risk.
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