A loan officer states, “Thousands of dollars can be saved by switching to a 15?year
mortgage from a 30?year mortgage.” Calculate the difference in payments on a 30?year
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mortgage at 9% interest versus a 15?year mortgage with 8.5% interest. Both mortgages are
for $100,000 and have monthly payments. What is the difference in total dollars that will
be paid to the lender under each loan?
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