Finance

Fannie Mae and Freddie Mac are known as:

AFederal Reserve lending arms
BGovernment-sponsored enterprises (GSEs) that purchase and guarantee mortgage loans✓ Correct
COklahoma-specific lending agencies
DDepartment of Housing and Urban Development subsidiaries

Explanation

Fannie Mae (Federal National Mortgage Association) and Freddie Mac (Federal Home Loan Mortgage Corporation) are government-sponsored enterprises (GSEs) that buy conforming mortgages from lenders, pool them into mortgage-backed securities, and guarantee them.

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