Finance
An interest-only mortgage in Mississippi requires the borrower to pay:
AOnly the interest portion each month, with no reduction in principal during the interest-only period✓ Correct
BOnly principal, building equity quickly
CEqual amounts of principal and interest each month
DInterest computed on the original loan balance for the life of the loan
Explanation
During the interest-only period of an interest-only mortgage, the borrower's payment covers only the interest; no principal is repaid. After the period ends, payments increase to cover both principal and interest.
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