Finance
What is 'mortgage acceleration' in Rhode Island lending?
AA feature allowing the borrower to make larger payments to pay off the loan faster
BA clause allowing the lender to demand full repayment of the loan balance upon the occurrence of a specified event, such as default or sale✓ Correct
CA loan that pays off faster automatically
DA government program to reduce interest rates for qualifying borrowers
Explanation
An acceleration clause allows the lender to declare the entire remaining loan balance immediately due and payable if certain conditions occur, such as default, failure to pay taxes/insurance, or sale of the property (due-on-sale clause).
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