Finance
A Louisiana homeowner refinances their $220,000 mortgage to take advantage of lower interest rates. This is called a:
AReverse mortgage
BRate-and-term refinance✓ Correct
CCash-out refinance
DConstruction refinance
Explanation
A rate-and-term refinance replaces an existing mortgage with a new loan, typically to obtain a lower interest rate and/or change the loan term — without significantly increasing the loan balance or taking cash out.
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