Therefore, if the household size is large, the head of the house is likely to divert the loan causing a default in repayment.
The government said the unsecured loans caused shortfalls that the executives covered up by moving money between accounts.
According to a report released this month by the Pew Charitable Trusts, an estimated 27 percent of payday loan borrowers say the loans caused them to overdraw their accounts.
Conseco, a big insurance company, is trying to sell Green Tree Financial after Green Tree, which specializes in mobile-home loans, caused huge losses at Conseco.
The bank did not disclose which companies or loans caused the writedown, but Tim Buckley, a former Citibank analyst who is now with the anti-fossil fuel Institute for Energy Economics & Financial Analysis, said there were two new developments that could be linked to the move.
The two New York-based banks are signaling new interest in a market hobbled since 2007, when record-breaking defaults on home loans caused investors to flee securities backed by mortgages.
The Justice Department complaint asserts that the troubled loans caused substantial losses at Fannie and Freddie, which in turn led to losses at a number of banks that bought securities sold by the two companies.
In 1902, Hanley Council led attempts to form an expanded county borough, but disagreement over the complex financial issues of rates, assets and loans caused Fenton to pull out, quickly followed by Burslem and Stoke, and the proposal was abandoned in 1903.
Creditors may refuse to renew their loans, causing the bank to stop lending or to sell assets in a hurry.
In September, Citigroup had a spike in late payments on consumer mortgages and home equity loans, causing the bank to set aside more money to cover expected losses.
