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What is one difference between fixed-rate mortgages and variable-rate mortgages?

AThe borrower can adjust monthly payment depending on his budget.
BThe interest rate may change depending on the condition of the economy.
CThe lender can adjust the monthly payment dates whenever he wants to.

Verified Answer :

Greenleafable

The correct answer should be B. The interest rate may change depending on the condition of the economy.

Fixed-rate mortgages keep the same rates as they were declared at the time of the contract signing, which can either be great for the person or the bank depending on the economy fluctuations. Variable-rate mortgages change based on the economy which means that the conditions are always kept to a certain standard.

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