Freddie Mac - Credit Smart NEWEST EXAM 2026-
2027 COMPLETE 100 QUESTIONS AND
CORRECT DETAILED ANSWERS (VERIFIED
ANSWERS) ALREADY GRADED A+ BRAND
NEW!!
1) Which of the item(s) below might be a reason(s) for owning a home?
Having the opportunity to build equity
Potential for gaining tax advantages
Having a home for family and sense of community
All of the Above - CORRECT ANSWER: all of the above
2) True or False? Contingencies are items within a property that the homebuyer would like to
have included in the purchase. - CORRECT ANSWER: false
3) When determining whether to make a mortgage loan to a homebuyer, lenders consider the 4
C's of lending: Capacity, Capital, Credit and Collateral. Select the term that fits the description
below. Do you have a history of paying your bills/debts on time?
Capital
Credit
Collateral
Capacity - CORRECT ANSWER: credit
4) What should you do if you have trouble paying your mortgage? (select all that apply):
Call your mortgage company (servicer) immediately
Beware of scam artists looking to take advantage of homeowners in trouble
, Contact a HUD-approved nonprofit housing counseling agency for foreclosure prevention
counseling
Ignore your mortgage company (servicer) completely - CORRECT ANSWER: i got this
questions WRONG
my answer -
Call your mortgage company (servicer) immediately
&
Contact a HUD-approved nonprofit housing counseling agency for foreclosure prevention
counseling
5) True or False? Collections are payments owed to an entity that were decided upon and
determined through a court proceeding and judgements are past-due accounts that were
transferred to a department or agency to collect because payments were not made voluntarily by
the borrower.
True
False - CORRECT ANSWER: false
6) Which mortgage type is this (choose one)? Your interest rate, monthly principal and interest
payments stay the same for the life of the loan. Your monthly payment could increase or decrease
if there are changes in your property tax, insurance or other escrow items.
Adjustable-rate mortgage
Fixed-rate mortgage - CORRECT ANSWER: fixed
7) What makes up a credit score (based on the FICO model)? Select the score percentage
applicable to the credit characteristic below. Payment history.
35%
30%
2027 COMPLETE 100 QUESTIONS AND
CORRECT DETAILED ANSWERS (VERIFIED
ANSWERS) ALREADY GRADED A+ BRAND
NEW!!
1) Which of the item(s) below might be a reason(s) for owning a home?
Having the opportunity to build equity
Potential for gaining tax advantages
Having a home for family and sense of community
All of the Above - CORRECT ANSWER: all of the above
2) True or False? Contingencies are items within a property that the homebuyer would like to
have included in the purchase. - CORRECT ANSWER: false
3) When determining whether to make a mortgage loan to a homebuyer, lenders consider the 4
C's of lending: Capacity, Capital, Credit and Collateral. Select the term that fits the description
below. Do you have a history of paying your bills/debts on time?
Capital
Credit
Collateral
Capacity - CORRECT ANSWER: credit
4) What should you do if you have trouble paying your mortgage? (select all that apply):
Call your mortgage company (servicer) immediately
Beware of scam artists looking to take advantage of homeowners in trouble
, Contact a HUD-approved nonprofit housing counseling agency for foreclosure prevention
counseling
Ignore your mortgage company (servicer) completely - CORRECT ANSWER: i got this
questions WRONG
my answer -
Call your mortgage company (servicer) immediately
&
Contact a HUD-approved nonprofit housing counseling agency for foreclosure prevention
counseling
5) True or False? Collections are payments owed to an entity that were decided upon and
determined through a court proceeding and judgements are past-due accounts that were
transferred to a department or agency to collect because payments were not made voluntarily by
the borrower.
True
False - CORRECT ANSWER: false
6) Which mortgage type is this (choose one)? Your interest rate, monthly principal and interest
payments stay the same for the life of the loan. Your monthly payment could increase or decrease
if there are changes in your property tax, insurance or other escrow items.
Adjustable-rate mortgage
Fixed-rate mortgage - CORRECT ANSWER: fixed
7) What makes up a credit score (based on the FICO model)? Select the score percentage
applicable to the credit characteristic below. Payment history.
35%
30%
