Sentences with phrase «little risk imposed»
Since there is so very little risk imposed on the lender when they write homeowner loans, the lender offer the borrower much more friendly credit terms and a super low interest rate.
http://www.badcreditloanservices.com/ Not exact matches
The traditional prime mortgage product in the US is a fixed - rate 30 - year amortizing loan, which imposes minimum interest rate risk on borrowers who can typically refinance with little penalty if interest rates fall.
But by the 1970s Bryant's legend was so imposing that he could loosen the reins of discipline with little risk.
At the same time, while it may be tempting to assume that some outcomes are worse because of the risks imposed by this system, we have little to no data to support that assumption.
The inadvertent response to the «risk layering» inherent in some mortgage products (e.g. no doc, balloon, negative amortization, or «teaser rate» mortgages) has been «safety layering» where so many safeguards are being imposed that there is little risk to making new loans.