Terror (Active +0%), effects of Will and Telepathic Talent

[muranternet]

A new-to-GURPS player wants a psi character in a 150CP campaign I'm prepping and I'm helping her on character building. One of the (few) powers taken is Terror with the Active (+0%) modifier from Powers and Telepathic (-10%), so a telepathy-based single target 10 yard range quick contest of Will between the PC and the target to determine the penalty on a Fright Check. All well and good. However:

• Does fearlessness count for the target in the Quick Contest? (I'd guess either flat yes, or else as an adjustment on the fright check after losing.)
• Does Telepathic Talent give a + to the contest of Wills, seeing as it's a telepathic power that doesn't actually require a skill check but a Will roll?
• Why would you bother buying up the -1 to Will saves at 10/level base if you can do the same thing (up to 16) through Telepathic Talent, or even Strong Will?

Thanks.