Beware of Parent Plus Loans

Time2
Sun, 14 Oct 2012 11:48:48 +0000

Any loan institution that gives out loans without doing any kind of income verification is operating in a reckless manner. That is exactly the behavior that was partly responsible for the crash in the housing market a couple of years ago. Lenders seemed to be making the assumption that home values can only go UP so there was no need to verify someone’s income. We all know how badly that ended and the housing market is still recovering from that.