Which statement about the balloon payment mortgage is not correct?

It benefits the banks and essentially becomes long$-$term mortgage. Banks revise loan contract periodically and get more fees.

It requires fixed monthly interest payments for $3$ to $5$ years. The full payment of the mortgage principal $($the balloon payment$)$ is then required at the end of the period.

It offers lower interest rates, but they are risky, and are usually used to encourage the homebuyers to buy more houses than they can afford with a standard mortgage.

It is good choice for low$-$income households because the contracts require interest only payments during the interim period, which are lower than the amortized loan monthly payment. The borrowers can always refinance at the end of the balloon loan period.