Which type of mortgage involves contributions from an account pledged to the lender?

The type of mortgage that involves contributions from an account pledged to the lender is indeed a pledged account mortgage. This loan structure typically allows borrowers to use funds from a specially designated account as collateral, which can assist them in qualifying for the mortgage or securing better loan terms. The funds in the pledged account often help in cases where the borrower's credit profile may not meet the lender's usual requirements, or when the borrower is looking to reduce their interest rate or monthly payments by providing additional security to the lender.

In contrast, a buydown mortgage involves a temporary reduction in the interest rate by paying upfront points and does not rely on collateral accounts. Conventional mortgages are standard loans not backed by government programs and have more stringent requirements, while FHA mortgages are government-insured loans designed to assist individuals with lower credit scores and down payments, also without the use of a pledged account. Thus, the correct identification of the pledged account mortgage highlights its unique structure that incorporates contributions from an account specifically pledged to the lender.