Bad At Math? You're More Likely To Lose Your Home

A recent study revealed that borrowers with poor math skills are more likely to default on their mortgage loans than those who are more skilled in the subject. The study included hundreds of borrowers with mortgages in 2006 and 2007, and came from a variety of backgrounds. To determine their level of math skills, participants were given five basic math questions. 25% of borrowers who were in the lowest math skills bracket defaulted on mortgage payments within five years, compared to only 5% default of those in the top bracket. The type of mortgage obtained was not a factor in the level of default. Overall, the study revealed that those who struggle with math also struggle handling their finances. Read the full article here: http://money.cnn.com/2013/06/25/real_estate/mortgage-math/index.html