standard repayment mortgage. We show poor financial literacy and present bias raise the likelihood of choosing an AMP …Policymakers have expressed concern that some mortgage holders do not understand or correctly choose their mortgage … products, especially alternative mortgage products (AMPs) with back-loaded payments. Using a specially design question module …

mortgage. We show poor financial literacy and present bias raise the likelihood of choosing an AMP. Financially literate …Choosing a mortgage is one of the most important financial decisions made by a household. Financial innovation has … given rise to more complex mortgage products with back-loaded payments, known as 'Alternative Mortgage Products' (AMPs), or …