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Why do lenders charge higher interest rates for subprime loans? To compensate for the higher LTV associated with these loans. To cover the administrative costs
Why do lenders charge higher interest rates for subprime loans?
To compensate for the higher LTV associated with these loans.
To cover the administrative costs of managing these loans.
Because subprime loans have a longer term than conventional mortgages.
To compensate for the increased risk of default.
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Foundations of Financial Management
Authors: Stanley Block, Geoffrey Hirt, Bartley Danielsen
15th edition
77861612, 1259194078, 978-0077861612, 978-1259194078
