Finance
A Montana borrower who has a 'conforming loan' has a loan that:
AConforms to the borrower's preferred payment schedule
BMeets the underwriting standards and loan limits set by Fannie Mae and Freddie Mac for purchase on the secondary market✓ Correct
CIs insured by the FHA or guaranteed by the VA
DIs financed by the Montana state government
Explanation
A conforming loan meets the loan limits and underwriting standards of Fannie Mae and Freddie Mac, making it eligible for purchase in the secondary mortgage market. Non-conforming loans (jumbo loans) exceed the conforming loan limits.
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