Finance
A North Carolina 'balloon mortgage' is characterized by:
APayments that increase each year
BA large final payment due at the end of a shorter loan term✓ Correct
CInterest-only payments for the life of the loan
DVariable interest rates tied to an index
Explanation
A balloon mortgage has regular payments (often based on a longer amortization schedule) with a large lump-sum payment due at the end of a shorter term.
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