Sentences with phrase «debt if the borrower defaults»

A loan where a third party agrees to assume at least part of the debt if the borrower defaults.

The legal right to legal property an owner gives to the lender as collateral for repayment of a debt if the borrower defaults.

This means the credit provider can sell your house to pay the debt if the borrower defaults on their loan.

The trustee must be impartial in this arrangement because he must be prepared to sell the property to satisfy the debt if the borrower defaults.

Not exact matches

Recent analyses of administrative data suggest that borrowers who leave college without earning a degree are at even greater risk of default than those who graduate, even if they graduate with more debt.

In some cases, lenders require a «personal guarantee» from small business owners — a written promise that the borrower's personal assets can be seized if the company defaults on their debts.

If the borrower has low credit, the creditor charges a higher interest rate premium due to the risk of default, especially on uncollateralized debt.

A mortgage or auto loan is a secured loan, because if the borrower defaults or the debt goes to collections, the bank can repossess the asset tied to the loan — a house or a car — and resell it.

Lenders don't want to give risky borrowers good offers if they believe the borrower will end up defaulting on their debt at a later date.

Cosigner A cosigner on a loan is a coborrower and is obligated to repay the debt if the primary borrower defaults on the debt.

If the debt - to - income ratio is more than 2, the borrower will have significant difficult repaying the debt and may be at high risk of default.

In case of default, the lender goes after the buyer who assumed the loan and — if that buyer can not pay off the debt — the lender then goes after the original borrower.

If the borrower defaults in the payment of the debt, the trustee may sell the property without legal proceedings.

Most people — including me — think of credit card debt as «unsecured,» meaning no physical object is subject to forfeiture if the borrower defaults on the debt.

Columnist Kathleen Pender wrote recently in the San Francisco Chronicle that approving FHA mortgage loans for borrowers who have outstanding debts in collection could increase taxpayer risk if these loans default and FHA doesn't have enough in its reserve fund for reimbursing lenders» losses.

If a large group of borrowers can default on securitized debt, spurring federal action to relieve these group of borrowers of their debt obligations.

However, on the flip side, if large groups of borrowers weren't defaulting on their student loans, then there wouldn't be the need for any sort of debt collection method, good or bad.

If the borrower defaults, you do not have any recourse but the lending websites do send the debt to a collection agency to recoup as much as possible.

For this reason, it's important that any potential cosigner is aware that if the borrower stops making payments, the default will go onto the cosigner's credit report and they can even be sued personally for the debt.

Please don't put all the blame on the borrowers — the banks are at fault as well and all they care about is that bottom line — and also if you default — the bank gets to discharge your debt and can claim in on their taxes as a loss there by still making money off you.

Effective July 1, 2010, borrowers who are in default may consolidate into the Direct Loan program immediately (without any payments prior to consolidation) if they agree to repay the debt using income - contingent repayment or income - based repayment.

Borrowers can obtain money, even if they have defaulted on past loans or have outstanding debt.

If a borrower is in danger of defaulting on their debt, a restructured auto loan agreement can be helpful for getting their finances back on track.

Co-signer: A person who agrees to share credit responsibilities and repays the debt if the original borrower defaults.

Extended on credit, unsecured debt presents a higher risk to a lender since - in the United States - there are no debtor's prisons and if a borrower defaults on a loan, there is little that a lender can do about it except seek costly legal action and report to the credit reporting agencies.

Even if a student loan is in default (and with a debt collector), borrowers with federal student loans can rehabilitate the loan.

By comparing the ratio between current debt and income, it is possible to determine if the borrower can reasonably handle another obligation without significantly increasing the risk of default.

In other words, if a borrower defaults on the mortgage, Fannie or Freddie will pay the investor (the ultimate owner of the mortgage debt) instead of the borrower.

Any clause that either waives a borrower's right to be notified of a court hearing or relinquishes his right to be heard in court — if a suit is brought alleging a debt default

The difference is that while Fannie Mae or Freddie Mac stand behind the agency debt they issue, non-agency paper doesn't give an REIT as many remedies if the borrower defaults.

Credit card debt is unsecured, since the lender has nothing to seize if the borrower defaults.

A cosigner is taking a significant risk in agreeing to sign a student loan, as his or her credit score will be negatively impacted by a missed or late payment, and because he or she will become responsible for the debt if the primary borrower goes into default.

For the defaulting borrower, it can slow down the lender's effort to seek judgment and, if successful, can amount to relief from portions of the debt being claimed.

If they become delinquent or go into default, it's up to you to fulfill the debt and take over their payments, effectively making you, the cosigner, the primary borrower on a loan that wasn't even yours to begin with.

That means that if over-consuming borrowers default on their credit - card debt the negative impact is essentially limited to the borrower and the lender, while a material increase in mortgage defaults can send shock waves throughout the economy (see the current U.S. example, where it is mortgage defaults, not credit - card write - offs, that have created Depression - like conditions).

If the borrower defaults in the payment of the debt, the trustee may sell the property without legal proceedings.