Finance
In NJ, under the Homeowners Protection Act, a lender must automatically terminate PMI when the LTV ratio reaches what level based on original amortization?
A85%
B78%✓ Correct
C80%
D75%
Explanation
The federal Homeowners Protection Act requires automatic PMI cancellation when the loan balance reaches 78% of the original purchase price or appraised value (whichever is lower) based on the original amortization schedule.
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