Question

Yvonne's goal was to buy a brand new home within a year. She's afraid that she will be unable to save the money that she needs for a down payment. Which of the choices below should not be part of Yvonne's plan for achieving her goal of buying a home? a. Delay buying the home for a few months. b. Borrow the money for the down payment and pay it back later. c. Adjust her budget to save more each month. d. Take on a part-time job to earn extra income.

Answer 1

The correct answer is b. Borrow the money for the down payment and pay it back later. 

If Yvonne does the choice B, she will end up being more financially unable. All the other choices including delaying to buy the home for a few months, adjusting her budget to save more, and taking a part time job to earn extra income could help her. So the one thing she shouldn't do is b. Borrow the money for the down payment and pay it back later.

Answer 2

I believe the answer is: B. Borrow the money for the down payment and pay it back later

The down payment basically actualized the contract of credit that Yvonne obligated to fulfill for the house. Since the amount of down payment is not subjected to interest rates, Yvonne could borrow it without worrying about the interest fees.