In the Five Cs of Credit, Character Refers to the Borrower's

question 134

True/False

In the five Cs of credit, character refers to the borrower's trustworthiness and stability.

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Definitions:

Sarbanes-Oxley Act

A U.S. federal law enacted in 2002 to protect investors from the possibility of fraudulent accounting activities by corporations, enhancing financial disclosures and corporate governance.

Felony

A serious crime, typically involving violence, regarded as more severe than a misdemeanor and usually punishable by imprisonment for more than one year or by death.

Audits

Systematic examinations, reviews, and verifications of financial and operational records and activities.

Magistrate

A judicial officer with limited authority, often responsible for handling minor criminal offenses and preliminary matters in legal cases.