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Jul29
Predatory Loans are Real
Believe me when I tell you predatory loans are still prevalent today. They are usually targeted towards lower-income individuals with credit problems. I tell you if I was having credit problems and someone offered me a loan, I would have to think twice about their motive. They are truly not looking out for my best interest but instead helping me to stay even further behind. A few of the red flags of predatory lending are the following:  money upfront (the point of the loan is to receive money, not give them money), changing interest rate (adjustable rate mortgage is a factor in this too. Usually the borrower gets a favorable rate, but I imagine not in this situation), and too large of a loan.

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