Finance
Under the Dodd-Frank Wall Street Reform Act, a qualified mortgage (QM) cannot have:
AA fixed interest rate
BNegative amortization, interest-only payments, or balloon payments (in most cases)✓ Correct
CA 30-year term
DPMI requirements
Explanation
A Qualified Mortgage (QM) under the Ability-to-Repay/QM rule must not have negative amortization, interest-only payments, balloon payments (with limited exceptions), or a term exceeding 30 years.
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