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Business, 25.05.2021 19:00 devbar3416
Frontline's Inside the Meltdown showed people who took out mortgages they couldn’t afford in the hopes that their home values would increase and they would become rich. Why did the banks give these people mortgages? Group of answer choices The lending banks faced little risk because they often quickly sold these loans to Wall Street investment banks who repacked the loans and sold them to investors. The government guaranteed all of these loans. The lending banks were unaware that loan applicants could not afford to undertake the loan repayments. The lending banks faced little to no risk in giving the loans because they could repossess the home at a guaranteed profit.
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