Because, as one of its executives, Robert Weisel, explained to me, making sensible loans to small businesspeople was how Sterling competed for business — even when the loan applicants didn't meet "the traditional standard," as he put it.
The high lending rate reflects banks' fears: They have no confidence that the other guy will be able to pay the money back, even when the loan is only for a single day.
Even when the bank made loans conditional on a country's promise to make public how it had spent its revenues, the projects did not produce economic benefits.
They do not, for instance, require banks to implement loan modifications with borrowers who fall behind, even when the value of the loan to the bank or investors would be maximized by cutting the borrower a break.
The Fed has also balked on banning the practice whereby brokers maximize their commissions by signing up borrowers for the most expensive loan possible, even when the borrower qualifies for a cheaper loan.
He was speaking to Bloomberg News about the harsh stance that lenders have begun taking with hedge funds, demanding them to put up more money to back their loans, even when the underlying collateral is relatively low-risk.
Even when these loans are made by banks, it can take months for the funding to come through, but business owners often need more immediate solutions," said Direct Lending Investments founder Brendan Ross, in a statement.
Even when these loans are made by banks, it can take months for the funding to come through, but business owners often need more immediate solutions," said Direct Lending Investments founder Brendan Ross, in a statement.
In fact, even when the first clearly is in trouble, sometimes the banks appear to resist writing loans down.
Faced with desperate customers, loan sharks can charge well over the odds, even when the risk of default is slight.
