Question 1 The rate of delinquencies per FICO score surpasses 50% for No group has a delinquency rate of 50% Individuals with scores up to 699 Individuals with scores up to 799 Individuals with scores up to 599 Question 2 When you sign a mortgage contract at a bank? Banks generally rent your mortgage to a third party The bank is allowed to resell your mortgage to a third party The bank is never allowed to resell your mortgage to a third party Your mortgage is trade on the stock exchange Question 3 Which of the following is a “Positive Loan Covenant”? Members of the Board’s salaries cannot exceed a certain value (i

Question

Question 1

The rate of delinquencies per FICO score surpasses 50% for

		No group has a delinquency rate of 50%
		Individuals with scores up to 699
		Individuals with scores up to 799
		Individuals with scores up to 599

Question 2

When you sign a mortgage contract at a bank?

		Banks generally rent your mortgage to a third party
		The bank is allowed to resell your mortgage to a third party
		The bank is never allowed to resell your mortgage to a third party
		Your mortgage is trade on the stock exchange

Question 3

Which of the following is a “Positive Loan Covenant”?

		Members of the Board’s salaries cannot exceed a certain value (i.e.: $1,000,000)
		No merger is allowed until the loan reaches maturity
		No additional debt can be incurred without bank approval
		The bank will be allowed to inspect inventory

Question 4

Over the past decades, which of the following occurred?

		Personal bankruptcy filings have increased, and Net Charge offs or write offs by banks have decreased
		Personal bankruptcy filings have decreased, and Net Charge offs or write offs by banks have increased
		Personal bankruptcy filings have decreased, and Net Charge offs or write offs by banks have decreased
		Personal bankruptcy filings have increased, and Net Charge offs or write offs by banks have increased

Question 5

When evaluating loans, which of the following is true?

		Assessing the character of the potential borrower is easy
		For mortgages, collaterals are extremely important
		Capital and collateral requirements are one and the same
		Collateral refers to the individual's overall wealth

Question 6

Which of the following is generally NOT an acceptable loan?

		Loans on Boats
		Loans on Home Improvement
		Loans on automobiles
		Loans secured by a second lien (other than home improvement or home equity loans)

Question 7

Over the past decades, the amount of money lent through student loans (i.e.: Citibank, BOA, WF, we the number of branches?

		None of the solution is correct
		Remained the same
		Decreased
		Increased

Question 8

Which of the following is correct about bankruptcies?

		Neither individuals nor companies can file for bankruptcy
		Individuals cannot file for bankruptcy, only companies can file for bankruptcy
		Both individuals and companies can file for bankruptcy
		Individuals can file for bankruptcy, but companies cannot file for bankruptcy

Question 9

Please provide a text of at least 10 lines, but preferably more to address the following essay question.

Also, in order to provide a high-quality response, you should integrate economic, management or finance concepts learned in this class, and also provide a detailed explanation in support of your position to address the following question:

Present and explain what you believe to be the 3 most important factors which a Credit Analyst should consider when considering extending a commercial loan to an American small business/independent store selling everyday clothes which desires to open a store in Ecuador?

Question 10

Which of the following is correct about bankruptcies over the past decades?

		Neither individuals nor companies have been filing more and more for bankruptcy
		Individuals have not been filing more and more for bankruptcy, but companies have been filing more and more for bankruptcy
		Both individuals and companies have been filing more and more for bankruptcy
		Individuals have been filing more and more for bankruptcy, but companies have not been filing more and more for bankruptcy

Question 11

Over the past decades, which of the following occurred?

		The number of mortgages has decreased, and the number of home refinancing have increased
		The number of mortgages has increased, and the number of home refinancing have decreased
		The number of mortgages has increased, and the number of home refinancing have increased
		The number of mortgages has decreased, and the number of home refinancing have decreased

Question 12

The rate of delinquencies per FICO score is less than 10% for

		No group has a delinquency rate of less than 10%
		All individuals with scores above 599
		All individuals with scores above 699
		All individuals with scores above 799

Question 13

APR are approximately which of the following?

		None of the answers is correct
		The fees that the borrower has to repay, but not including any interest rate
		The interest rate that the borrower has to repay, but not including any fees
		The interest rate that the borrower has to repay, including some fees

Question 14

Over the past decades, the number of banks (i.e.: Citibank, BOA, WF, we the number of branches?

		Increased
		None of the solution is correct
		Decreased
		Remained the same

Question 15

Credit Scores and Credit history?

		Provide the exact same information to potential lenders to help lenders to decide of whether or not to extend a loan and also provides information to potential borrowers which helps them to know of their potential to receive a loan
		Provide the exact same information to potential lenders to help lenders to decide of whether or not to extend a loan, but provide no information to potential borrowers
		Provides information to potential borrowers which helps them to know of their potential to receive a loan, but provide no information to potential lenders
		Provide slightly different and complementary information to potential lenders to help lenders to decide whether or not to extend a loan and also provides information to potential borrowers which helps them to know of their potential to receive a loan

Question 16

From which of the following sources do card issuers NOT earn income?

		Interest on outstanding loan balances
		Government subsidies
		Discounting the charges that merchants accept on purchases
		annual fees

Question 17

What are Net Charge off or Write offs?

		Loan on whom special charges are added
		Loans whose contract has been written in a ambiguous manner
		Loans that banks do not expect the borrower to pay
		Loans that have a high interest rates

Question 18

Which of the following generates a “greater percentage of profits for banks”?

		Agricultural loans
		Commercial loans
		They generate the same percentage
		Consumer loans

Question 19

Which of the following is generally NOT an acceptable loan?

		Cosigned loans
		Credit line loans
		Loans for speculative purposes
		Loans on Boats

Question 20

Please provide a text of at least 10 lines, but preferably more to address the following essay question.

Also, in order to provide a high-quality response, you should integrate economic, management or finance concepts learned in this class, and also provide a detailed explanation in support of your position to address the following question:

Present and explain what you believe to be the 3 most important factors which a Credit Analyst should consider when considering extending a home refinancing loan for the purpose of adding an additional room to a customer which has a low credit score but does not currently have any out of the ordinary debt?

Question 21

Typically, on a mortgage loan

		Interests and principal to be paid are calculated bi-annually
		Interests and principal to be paid are calculated every month
		Interests and principal to be paid are calculated every year
		Interests and principal to be paid are calculated every day

Question 22

Which of the following is a “Negative Loan Covenant”?

		No merger is allowed until the loan reaches maturity
		The bank will be allowed to inspect inventory
		The borrower must maintain a certain amount for cash flow (i.e.: $20,000)
		The Borrower must inform the bank of any litigation