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Which person would benefit most from taking advantage of a low variable interest rate?A.Erica needs to borrow money to attend college, but she doesn't have a good credit history.B.Evan needs to borrow money to pay for car repairs, but he will be able to pay off the loan within two to three months.C.Emilio needs a loan to support his business and needs his payments to be as predictable as possible.D.Ellie has just found her dream home and wants to get a mortgage that will allow her to live there forever.

Question

Which person would benefit most from taking advantage of a low variable interest rate?A.Erica needs to borrow money to attend college, but she doesn't have a good credit history.B.Evan needs to borrow money to pay for car repairs, but he will be able to pay off the loan within two to three months.C.Emilio needs a loan to support his business and needs his payments to be as predictable as possible.D.Ellie has just found her dream home and wants to get a mortgage that will allow her to live there forever.

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Solution

The person who would benefit most from taking advantage of a low variable interest rate is Evan. Here's why:

A. Erica needs to borrow money for college, but she doesn't have a good credit history. This could mean higher interest rates for her, and a variable rate could increase over time, making the loan more expensive.

B. Evan needs to borrow money for car repairs and will be able to pay off the loan within two to three months. A low variable interest rate would benefit him because even if the rate increases, he will likely have paid off the loan before any significant increase.

C. Emilio needs a loan for his business and needs his payments to be predictable. A variable interest rate is not predictable as it can change, so this would not be a good option for him.

D. Ellie has found her dream home and wants a mortgage to live there forever. Mortgages are long-term loans, and a variable interest rate could increase significantly over time, making the loan more expensive.

So, Evan is the best candidate for a loan with a low variable interest rate because he will pay off his loan quickly, reducing the risk of having to pay more if the

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