Finance
In Ohio, a 'loan modification' differs from a refinance in that a loan modification:
ACreates an entirely new loan with a new lender
BPermanently alters the terms of the existing loan (rate, term, or balance) without creating a new loan✓ Correct
CRequires a new title search and title insurance
DMust be insured by FHA to be valid
Explanation
A loan modification changes the terms of an existing loan (lowering the rate, extending the term, or reducing the principal) as an agreement with the current servicer, without refinancing or creating a new loan.
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