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More capital meant bigger loans.
And the latter group was defaulting on bigger loans.
Taking on bigger loans seemed affordable when credit was cheap.
Or the student could have taken out bigger loans.
House prices soared and bigger loans with which to upsize were fairly easy to come by.
Moreover, banks that sell those loans on the secondary market make more money on bigger loans.
There's only one outcome of shirking your loans: ending up with bigger loans.
Similar(4)
In the case of the loan, it led to the lender giving you a bigger loan.
In response, Canadians have sought ever-bigger loans for ever-costlier homes.
And these were very big loans".
Few big loans have gone bad.
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