Subprime Mortgage Lending - 2007 Statement on Subprime Mortgage Lending
A second practice of concern to agencies and addressed in the Statement on Subprime Mortgage Lending is failure to disclose fully to the borrower how these ARMs will affect future payments. In addition, so-called “liar loans” are being underwritten by some less scrupulous subprime lenders. These loans are more politely…
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