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Unformatted text preview: history so you do not have much of a track record by which to judge your financial responsibility. Basically, you could just pull up stakes and disappear with the banks money if you had a mind to and it would be very expensive to track you down You money if you had a mind to, and it would be very expensive to track you down. You lack ties to the community. Who would you charge a higher risk premium to? Who may be charged a higher risk premium by a lending institution? Lenders evaluate the length and quality of an individuals credit history, the 14 purpose of the loan, the amount of collateral available and its liquidity, as well as an individuals capacity to repay the loan....
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- Fall '10