Regardless of What a Potential Borrower Thinks He or She

question 59

Essay

Regardless of what a potential borrower thinks he or she can afford,banks and other lenders impose a maximum amount that they will lend to a borrower based on the person's income and current debt levels.According the Keown book,what three factors do lenders look at when evaluating a potential borrower?

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Definitions:

Researchers Use

The application of various methods and tools by scientists to conduct experiments, gather data, and test hypotheses.

Nervous System

The part of an organism that coordinates its actions by transmitting signals to and from different parts of its body.

Central Nervous System

The part of the nervous system that includes the brain and spinal cord, responsible for processing and transmitting messages throughout the body.

Peripheral Nervous System

The part of the nervous system outside the brain and spinal cord, consisting of nerves and ganglia, that connects the central nervous system to limbs and organs.