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The banks will have to assess the consumer's ability to repay before making a loan.
Mr. Babcock said he knows of one family that requires collateral before making a loan.
It says it checks thousands of pieces of data before making a loan.
Before making a loan, for example, banks will have to assess a consumer's ability to repay the money.
Finally, the bill requires banks to consider applicants' income, assets and credit history before making a loan.
Before making a loan, lenders must document the borrower's job status, income and assets, debt, and credit history.
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While you cannot control some factors, you can control some, such as the amount you owe and opening a new line of credit just before making a home loan application.
Before agreeing to make a loan, lenders have to be satisfied that borrowers have enough income to pay back their loans and can secure homeowner insurance — and that the properties are worth the sales price.
That is because most co-op lenders require that the co-op corporation, through its board, enter into what is known as a recognition agreement with the lender before the lender will make a loan.
You pick, you make a loan.
Banks will be required to wait 30 days before making another loan, and will not be able to extend loans to borrowers who have not paid previous obligations.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com