Question

All of the following are true of a home equity loan except it

A) provides you a line of credit.
B) is a good way to combine different kinds of debt.
C) may be tax deductible.
D) allows you to borrow up to 80% of the market value of your home.

Answer 1

A home equity loan is a type of loan that allows homeowners to borrow money using their home's equity as collateral. It provides a line of credit and allows borrowers to borrow up to 80% of the market value of their home. However, it is not a good way to combine different kinds of debt. option d is answer

Step-by-step explanation:

A home equity loan is a type of loan that allows homeowners to borrow money using their home's equity as collateral. While it provides a line of credit and allows borrowers to borrow up to 80% of the market value of their home, it is not a good way to combine different kinds of debt. Home equity loans are specifically designed for homeowners to use the equity in their homes for major expenses such as home improvements or tuition.

Additionally, home equity loans may be tax deductible, meaning that borrowers may be able to deduct the interest paid on their loans from their taxable incom e, subject to certain conditions. This can provide potential tax benefits for homeowners. option d is answer