Which of the following correctly describes what sub-prime lending is?begin{enumerate}item Lending to the people who cannot return the loans.item Lending to the people who are highvalue customers of the banks.item Lending to those who are not a regular customer of a bank.end{enumerate}

BANKING GENERAL KNOWLEDGE

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Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]

Which of the following correctly describes what sub-prime lending is?

A	Only 1
B	Only 2
C	Only 3
D	All the above

Explanation:

Detailed explanation-1: -Subprime lending means giving loans to people who may have difficulty maintaining the repayment schedule, sometimes reflecting setbacks, such as unemployment, medical emergencies, etc.

Detailed explanation-2: -subprime lending, the practice of extending credit to borrowers with low incomes or poor, incomplete, or nonexistent credit histories.

Detailed explanation-3: -Those borrows who do not have a good credit history.

There is 1 question to complete.