Based on the following borrower profile would you approve or…
Based on the following borrower profile would you approve or decline the loan $500,000 home loanMBA degree with job and industry stabilityRecessinary economic conditions730 FICO32% home debt ratio,; 40% total debt ratio; moderately high liquidity and cash emergency fund
Read DetailsAnalyze/evaluate the following FSR’s to answer questions 1-3…
Analyze/evaluate the following FSR’s to answer questions 1-3 : Net Cash Flow Negative ($500/month)Mortgage Debt Service Ratio 40% of Gross IncomeTotal Debt Service Payment Ratio 55% of Gross IncomeSavings Ratio 1% of Gross IncomeCash Emergency Fund 1 month of living expenses & debt payments 1. Are there any ratios that need addressing/correcting? 2. How is this borrower managing their finances? 3. Which 2 financial standing ratios are the most important to correct and why?
Read DetailsCredit Cards Select one of the following statements defendin…
Credit Cards Select one of the following statements defending your answer a. In today’s world credit cards are of if managed responsibly, explaining what responsibly means? b. I am strongly opposed to the need for credit cards, as they are an “I love debt” score encouraging consumers to overspend on wants and creating financial issues, so I do not plan to get any credit cards?
Read DetailsAnalyze/evaluate the following borrower’s profile to answer…
Analyze/evaluate the following borrower’s profile to answer questions 1-2 Occupation: Fireman (H) – Nurse (W)Income: $150,000 annuallyFamily: 3 children (8, 10, 12) Home: $600,000 Fair Market ValueHome Loan: $540,000 = 90% Loan-to-ValueHome Debt Service Ratio 45% Other Debt: $160,000 (3 Cars, Boat, RV)Total Debt Service Ratio 60% Credit Score: 590Credit Card Debt: $25,000 Cash Emergency Fund: $1,000 Budget: Not currently Retirement Savings: LowCollege Savings: None A. Is this borrower managing their finances well? Cite supporting reasons? B. What would you recommend this borrower do to improve their finances?
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